Broadbent (BOE) supports the pound

marketsforu

BoE member delivers speech on the outlook for Britain’s recovery from the financial crisis. The speech will be followed by Q&A.

  • UK Yield curve currently very flat
  • November yield curve pushed cpi forecast over 2% in 2 years
  • Output much closer to potential than in 2012
  • Officials not solely concerned with inflation
  • Shocks can lenghten time to return CPI to target

Pound jumps following his comments. GBP/USD breaks and settles well above 1,5200.