Bank hints at further rate rises

[hyperD]

One assumes they use a oiuja board to contact the deceased one?

LOL! Conspirists would say he was about to cast a "rise" vote but Gordo's spooks got him him first.

[Fungus]

The entry into the ERM was a Tory act with broad support from the House Of Commons. It turned out to be a screw up and demonstrates that the less power given to politicians of any hue, the better.

Flash Gordon gave the BOE control over the interest rates. However the Tories had already commissioned a study into just that and hence much of the preparation had already been done, allowing it to happen much quicker than otherwise would have been the case. All credit to Flash for doing it though. IMO it is one of the achievements of this government.

[stackpole]

As I said inflation is not out of control (yet anyway), so hold.

How do you know what the inflation rate will be in 18 months time?

That is what the MPC are trying to control, not the inflation rate today.

Ergo, if their data shows a risk that it will be rising too much in 18 months, they need to forestall it now.