BoE's Carney: Biggest external risk to global economy is China

As the House of Lords' testimony continues, Bank of England's Governor Mark Carney stated that by spring, he expects to see inflation of 1.5 - 1.8 pct and highlights that the biggest external risk to the global economy is China.

More headlines (via Reuters):

• Expects basel to substantially reduce impact of new operational risk capital rules
• Relatively quickly we will see effects of Sterling depreciation on inflation
• Important to say that judgement on whether to look through currency effects is a trade-off, there are limits to willingness to look through inflation overshoots
• Sterling is undoubtedly something we will take into account with next week's forecasts and policy decision
• Chinese authorities have been doing an "exemplary job" in managing its economy's challenges
• Says need to recognise gradual reduction in sustainable level of growth in China