We should not be dependent on how data turns out.We can’t assume that inflation pain of new economic shocks will go away.I agree with the MPC view that there is an easing in the labour market, question is about the pace.Some key pay indicators remain quite strong.
I think he’s suggesting that central bankers need to also have some forward looking thinking and not get too fixated on lagging indicators like inflation and employment.
This article was written by Giuseppe Dellamotta at www.forexlive.com.