- CPI Trough Seen Below 1% In Q2 2010
- Report Shows Scope For Further, Early And Aggressive Rate Action
Bank of England forecasts for inflation and growth released today show just why the BOE slashed rates by 150 basis points last week. The bank's inflation projection shows inflation under 1% in 2 years time on both market and constant 3% rates. GDP bottoms out at a level near -2.0% in mid-2009 and the BOE's MPC believes the risks to the forecasts are "broadly balanced".