BoE’s Vlieghe: No need for tightening - BBH

Analysts at BBH points out that BOE’s MPC member Vlieghe played down the need for tightening and said that he needs to see evidence of strong wage growth before voting for a rate hike.  

Key Quotes

“We continue to believe that markets are overestimating the capacity of the BOE to tighten this year.  Carney has been very steadfast in his belief that the bank’s current accommodative stance is appropriate, and we do not think that will change until the impact of actual Brexit is better known.   Cable has been unable to gain a foothold above $1.25 and could see deeper losses on another failure to break above it.”