Carney spoke to Sky News

  • Today's figures are consistent with BOE forecast that inflation to overshoot target for some time

UK CPI missed expectations today at 2.6% y/y vs 2.9% expected.

Cable is higher on this comment. The thinking is that the miss doesn't change Carney's expectation for a rate hike.

More:

  • Big picture on inflation remains the same
  • Fall in sterling is pushing up prices