BOE's Mann: Fx rate is important ingredient for UK inflation

"Medium-term inflation expectations are very important for my assessment of where bank rate should go," Bank of England (BOE) policymaker Catherine Mann said on Tuesday, as reported by Reuters.

"Once inflation expectations have been managed, the bank rate can come off a future peak," Mann added and noted that the foreign exchange rate is an "important ingredient" for the UK inflation.

Market reaction

These comments don't seem to be having a significant impact on Pound Sterling's performance against its rivals. As of writing, GBP/USD was up 0.55% on the day at 1.2025.