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- BoE's governor Bailey: BoE is not out of ammunition, can use more QE or forward guidance
BoE's governor Bailey: BoE is not out of ammunition, can use more QE or forward guidance
- We do not rules out negative rates but are realistic about challenges
- Negative interest rates are in the BoE's toolbox, have not reached judgement on whether or when to use them
- Evidence on negative rates is a mixed bag
- It would be a 'cardinal sin' if the BOE had a tool but did not know how to put it into effect
- Critically important that BoE can use all its tools to support economy
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