- Growth has been broad-based across most countries and sectors, we expect this to continue
- Manufacturing is performing solidly
- The labor market remains robust
- The outlook continues to be highly uncertain
- Major tech advancements have not reduced unemployment but the verdict is still out
- We see higher inflation ahead but not signs it is being embedded
- The inflation outlook will be higher for 2027 and 2028 than we expected a few months ago
- We remain in the ‘middle path’ for mon pol that we laid out earlier this year
- We view a ‘measured response’ as appropriate to keep inflation in check
- Measured response means that while the shock is too large to look through, we view a measured response as approriate to keep inflation in check
The euro is down 25 pips to 1.1364 today and is at the lows following this comment.
This article was written by Adam Button at investinglive.com.