“I’m very encouraged that the path of inflation is downwards therefore I do think the path for interest rates will be downwards, gradually,” Bank of England (BoE) Governor Andrew Bailey said on Tuesday.
Bailey added: “My best guess will be interest rates settle at a ‘neutral rate’.”
Market reaction
The Pound Sterling came under fresh selling pressure following these comments, currently trading 0.07% lower at 1.3335.
Source: https://www.fxstreet.com/news/bailey-speech-do-think-the-path-for-interest-rates-will-be-downwards-gradually-202409240630