News Headline Summary

BoE's Miles says more QE warranted unless small output gap or 'pessimistic' assumption made on supply growth

Says:
- 1.5% of GDP would justify extra GBP 60bln of Gilt purchases and 3% of GDP gap points to GBP 175bln.
- Not clear that there are more effective tools for BoE other than Gilt purchases.
- "Good case" can be made for more expansionary monetary policy.

Reaction details:

- No reaction observed across classes because these comments are in line with David Mile's stance.

Print 18:16, 21 Feb 2013 - BoE - Source: Newswires