<ul><li>Looser stance can be achieved through lower bank rate today or in the future</li><li style=““ class=“text-align-justify“>Expects that with current high level of bank rate, it would require an earlier and faster reversal</li><li style=““ class=“text-align-justify“>That is to avoid a significant inflation undershoot</li><li style=““ class=“text-align-justify“>In the absence of further shocks, sees inflation likely falling well below target</li></ul><p style=““ class=“text-align-justify“>The message is definitely a bizarre one when you take into context double-digit inflation in the UK upon the latest reading <a target=“_blank“ href=“https://www.forexlive.com/news/uk-february-cpi-104-vs-99-yy-expected-20230322/“ target=“_blank“ rel=“follow“>here</a>. But she has been adamant that rate hikes have gone too far for a while now. I think it is really quite something to see such diverging views within the central bank – even at this stage of the tightening cycle.</p>

This article was written by Justin Low at www.forexlive.com.