Bank of England Governor Carney reiterated that the monetary policy decisions are not automatic, while insisting once again that inflation overshoots can only be temporary and limited. Overall output in the economy is expected to be 1.0% higher over the next three years with fiscal policy contributing around half of this effect. A stronger US growth profile and supportive financial conditions will also underpin growth. Carney again warned over fragility in investment. The MPC expects inflation to be around 2.0% in February with a peak at 2.8% in early 2018. Carney admitted that the bank had underestimated consumer ... (full story)