Mark Carney said rising U.K. mortgage debt may threaten Britain’s recovery as he signaled interest rates might start to rise earlier than anticipated.
Investors who’ve driven 10-year gilt yields higher ever since Mark Carney joined the Bank of England now have the governor’s blessing.
When Mark Carney finally begins to lift Bank of England interest rates from a record low, his plan for a gradual tightening suggests changes no faster than once every three months.
Britain lost its top credit rating by Moody’s Investors Service, which cited weakness in the nation’s growth outlook and challenges to the government’s fiscal consolidation program.
The Bank of England will leave its benchmark interest rate unchanged at a record low in the coming week as policy makers hold off tackling inflation on concerns about the strength of the recovery.
The Bank of England said arguments in favor of the first interest-rate increase since 2007 are growing stronger for some officials.
"The near-term outlook and importantly the risks around it have moved enough for us to believe the Monetary Policy Committee will delay the timing of the first rise."
- David Tinsley on Oct 15, 2014
Tinsley Says Portugal Yields are ‘Unsustainable’ March 23