BOE’s Broadbent dismissed rate hike of less than 25bps

FXStreet (Mumbai) - The Bank of England’s (BOE) deputy governor Broadbent, while addressing a question following his speech in London, said there is no virtue in a rate hike of less than 25 basis points (bps).

Key Quotes

MPC has not discussed interest rate hikes of less than 25bps

There is a particular danger in looking at lift off date implied by market yield curves

Productivity growth may have started to happen in the UK

BOE didn't see an emerging market crisis, and sees solid recovery in domestic demand

Fall in commodity prices has bought the BOE some time

Last Fed comments were a slight corrective to Sep comments, the US recovery isn't that strong and underlying productivity growth is weak