BoE's Bailey: I still think markets are getting ahead of themselves by pricing rate hikes

Remarks from the BoE Governor, Andrew Bailey If we have prolonged high energy prices and supply disruption, it will strain many countries quite seriouslyWe will have to act if appropriate, but tackling the source of the energy price shock is most importantI'm very clear we need to return inflation to target in a way that causes the least… If we have prolonged high energy prices and supply disruption, it will strain many countries quite seriously We will have to act if appropriate, but tackling the source of the energy price shock is... If we have prolonged high energy prices and supply disruption, it will strain many countries quite seriously We will have to act if appropriate, but tackling the source of the energy price shock is most important I'm very clear we need to return inflation to target in a way that causes the least damage to growth and jobs We look at inflation expectations very carefully, but short-run often follows headline… For traders, releases like this can quickly shift rate expectations, currency direction, index futures and broad risk sentiment. Watch the next move in the dollar, front-end yields and index futures to see whether the market prices this release as a true surprise or only a passing headline.