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BoE unanimous against more QE, UK jobs data strong
July 17, 2013 / 8:53 AM / 4 years ago

BoE unanimous against more QE, UK jobs data strong

LONDON (Reuters) - Mark Carney and all of his fellow policymakers at the Bank of England voted against a resumption of bond buying at his first policy meeting as governor of Britain’s central bank, minutes showed on Wednesday.

Separate figures showed the number of Britons claiming unemployment benefit fell for an eighth consecutive month in June and at its fastest pace in three years.

ANALYSTS’ VIEWS

ALAN CLARKE, SCOTIABANK:

“We had the impression from our Canadian colleagues that Carney doesn’t like disagreement, he likes to have a united front and he’s got it after months of (disagreement). Maybe it’s a coincidence that it’s the new governor but it’s also coming at a time when you’ve got signs that economic growth will be pretty robust.”

PHILIP SHAW, INVESTEC:

”We’re not surprised that the vote was 9-0 to keep policy on hold both for QE and the rates.

”It’s pretty clear that there’s a lot going on in August, with the work on forward guidance and the Inflation Report, which suggests that it’s really next month’s meeting which is going to be critical.

”On the labour market data: a pretty chunky fall in the claimant count and consistent with some pick-up in the economy through the first half of this year.

”The labour market has been top performer of the UK economy for a while now.

“Overall, our view is still that the MPC will sanction more QE next month.”

Reporting by Mark Anderson and Olesya Dmitracova

Our Standards:The Thomson Reuters Trust Principles.
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