- Economic growth and spending in H2 were stronger than forecast
- Economy didn’t cool as much as expected in H2
- Lower gasoline prices are welcome but prices of essentials continue to rise too quickly
- If we need to do more to get inflation to 2% target, we will
- The full effect of rate hikes is still to be felt
- Overall we view the risks to inflation as balanced
There haven’t been any surprises so far. The conditional commitment to holding rates is what you would expect.