Recent wage growth not consistent with 2.0% inflation target

Bank of England (BoE) Deputy Governor Ramsden made some comments on the UK wage inflation during his appearance on Friday.

Key quotes

Other wage data suggest wage growth probably peaked at 7.0% rather than 8.0% in official series

Either way, recent wage growth not consistent with 2.0% inflation target.

Weakness of supply capacity is a real feature of the UK economy.

Weak supply capacity is relevant to the UK monetary policy.

Market reaction

At the time of writing, GBP/USD is adding 0.10% on the day to trade at 1.2417.

Source: https://www.fxstreet.com/news/boes-ramsden-recent-wage-growth-not-consistent-with-20-inflation-target-202311171352