MPC more split than markets think - Nomura

Analysts at Nomura noted the recent shift in the BoE that has been one of the highlights of the market's o/n.

Key Quotes:

"The views of the MPC look to be much more split than the market thought.

In other words, Mark Carney’s comments suggest that in his view the BoE will not hike until the data say it should have done so already, and in the meantime, the market should not get too excited by the thought of it. 

It’s a stark difference from his 2014 the Mansion House speech when he said a hike “could happen sooner than markets currently expect.” 

But the lack of a hike since 2014 begs the question that, as the Mansion House speech of 2014 was not the best forward-looking indicator back then, why should it be now?"