In the face of the crisis, we have already cut official interest rates by half, to 2 1/4 per cent over the past year and have stated that some further monetary stimulus will likely be required to achieve the inflation target over the medium term. Conclusion Let me conclude.
The above reasoning suggests that the next US tightening cycle will be shorter and shallower than in the past. In other words, I tend to be more on the side of futures markets than of Fed officials as far as the prediction about the level of the base rate at the end of 2016 is concerned.