Interest-Rate Gradualism Is ‘No Longer Valid,’ BOE’s Mann Says

Gradual interest-rate moves no longer send clear signals to volatile financial markets and larger shifts are now needed to “cut through” the noise for the good of the economy, Bank of England policymaker Catherine Mann said.

In the text of a speech to be delivered at the Reserve Bank of New Zealand on Friday morning, Mann explained why she voted for a super-size half-point cut in rates last month while simultaneously insisting that policy needs to remain restrictive to tackle persistent inflation.