Ramsden Flags Inflation Risks, Keeping GBP Supported

Bank of England Deputy Governor Dave Ramsden warned on Monday that inflation risks have shifted to the upside, citing external pressures from energy prices, weather, and AI supply chains, as well as domestic indirect effects in food prices.

Ramsden stated that if these upward pressure on inflation continue, there could be a case for raising the bank rate. However, he does not expect the central bank to consider further Quantitative Easing (QE) anytime soon.

The BoE policymaker's comments were seen as hawkish and supportive of the British Pound (GBP), particularly against the Euro and Dollar.