The credit market hasn’t cracked yet

For markets, Capital Economics concludes, such bear steepenings have generally “been followed by significant falls in long-term government bond yields, as well as equity indices.”

Jonas Goltermann, an economist at Capital Economics, explains why he’s not positive about the pound: "We doubt the BoE will deliver all the tightening now discounted in markets – and if it does, that...

Jonas Goltermann of Capital Economics, a consultancy, says the tightening is more reminiscent of the growth scares of 2015-16 and 2018 than of a credit crunch.