We are helpless in face of inflation, claims Bank of England Governor
“Appearing in front of MPs this afternoon, Andrew Bailey admitted he’d felt helpless to control soaring prices amid an energy market shock and the war in Ukraine, adding: ‘It’s a very, very difficult place for us to be in.'”
USAGOLD note: Has Andrew Baily just framed the new central bank conundrum? Unlike the Fed, the Bank of England, he says, will not sell government bonds from its asset portfolio in times of turmoil. One might ascertain from that, it would likely even buy more if circumstances necessitated it. The Telegraph article goes on to describe British inflation as “runaway.” We would venture a guess that such thinking stands a very good chance of making its way across the Big Pond before too long.