, Columnist
Sterling's Imaginary Smooth-Brexit World
Mark Carney's set up a negotiating hurdle for the government to trip over.
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No doubt about it -- The Bank of England is hawkish, and it is ready to embark on a rate-hiking cycle. Sterling took an instant leap higher to the dollar, and 10-year gilt yields rose to the highest levels seen since April 2016.
Governor Mark Carney and the rest of the Monetary Policy Committee are leaving a lot to chance over Brexit. The pound is vulnerable to a nasty about-face.