Mark Carney Addresses Critics Of Low Interest Rates

Mark Carney delivered a speech in Nottingham, highlighting the contrast with London and emphasizing that interest rates will not rise until unemployment falls below 7%. Despite his assurances, markets are skeptical, leading to rising mortgage rates. Carney aims to communicate directly with the public, but economic uncertainty persists. He outlined three key points: potential for more stimulus, low probability of rapid unemployment decline, and banks holding diverse assets. The speech indicates a struggle between the Bank of England and financial markets.

What is the significance of forward guidance as mentioned in the text?

What concerns does the speaker express about the current economic situation?