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Beecroft: BoE minutes show we are ‘getting back to normal’

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It was always going to be hard to surprise markets more than Mark Carney did last week when he said rates could rise sooner than expected. Still, Saxo’s Nick Beecroft thinks the latest Bank of England minutes from the 4-5 June policy meeting has some interesting points. 

Nick explains that the central bank showed signs of taking a dovish approach to the slowdown in housing market activity; the members "said it wasn’t their job" to slow the housing market, but that of the financial policy committee".

The BoE also said that its staff maintained their forecast for 0.9 percent economic growth during the current quarter, and now saw upside risks to their forecast of 0.7 percent for the third quarter of 2014.

Overall, Nick believes the latest steps taken by the Bank of England show we are “getting there”. he believes a rate rise could take place "as early as September", and that we could soon be getting back to the “old normal”.