BoE's Vlieghe: Lower bound for negative rates at least between -0.5% and -0.75%

Bank of England (BoE) policymaker Gertjan Vlieghe is commenting on the policy outlook.

Key takeaways as reported by Reuters

"Lower bound for negative rates seems to be at least between -0.5% and -0.75%, unclear if it could be a bit lower"

"If the economy needs more stimulus, negative rates become a relevant and important tool."

"Whether more QE is needed depends on whether markets are orderly."

"I will not be part of the MPC when the time comes for the BoE to raise rates."

Market reaction

The GBP/USD pair preserves its bullish momentum after these comments and was last seen gaining 0.35% on the day at 1.4168.