- Sees risk of spillover into inflation
- No clear peak of wage growth seen yet
They need to play it this way in order to keep the door open to more rate hikes, or at least keep up that appearance. But for now, as the economy moves to the brink of a recession, the timing to tighten policy further would not be the best suited.
This article was written by Justin Low at www.forexlive.com.
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