LONDON, Aug 2 (Reuters) - The Bank of England’s approach to policy should be to “walk - not run”, Governor Mark Carney said on Thursday after the central bank raised rates to a new post-financial crisis high of 0.75 percent.
Carney repeated the BoE’s view that rates are likely to rise only in a limited and gradual fashion, reflecting long-term changes to Britain’s economy and short-term factors like Brexit uncertainty and fiscal drag. “Policy needs to walk – not run – to stand still,” Carney said in a speech after the BoE’s rate decision.
Sterling fell to a day’s low against both the dollar and euro on the comment. (Reporting by Andy Bruce; editing by Stephen Addison)