Carney admits plan to ‘shake up the markets'

Bank of England Governor Mark Carney has admitted the Mansion House speech he gave last month was deliberately designed to 'shake up the markets'.

In a hawkish mood that caught the industry by surprise, Carney said during his speech that the market had become complacent about the prospect of interest rate rises sooner than expected. Asked by MP Jesse Norman at the Treasury Select Committee yesterday whether his comments has been deliberately designed to “shake up the markets”, Carney replied, “absolutely”.  “We were concerned that markets were not reacting to a fairly long run of data that had been as expected, if not a little better, and there had not been a change in the prediction for the first rise in interest rates,” he sai...