BoE's Greene says she thinks the UK will send some second round effects from current inflation; are early indications are that UK wages will grow around 3.5% next year, and that worries me

Greene has sat toward the hawkish end of the MPC through this cycle, so commentary flagging second-round effects is consistent with her established voting record rather than a shift in the committee's centre of gravity; what has historically moved gilt pricing is whether this framing migrates toward the median voter. The mechanism she is pointing to is the wage-price channel: concern about second-round effects is the standard argument for keeping policy restrictive longer, and in past UK episodes of this kind the front end and belly of the gilt curve have been the transmission point, with the split pricing between a later first cut and a shallower cutting path. An explicit wage expectation of the kind cited, above rates consistent with target in most productivity assumptions, is the sort of detail MPC hawks have used to justify holding against market-priced easing. Worth noting is that single-member remarks have tended to fade unless echoed by other officials or corroborated by the next wage and services inflation prints, which carry the heaviest weight in the MPC's own persistence framework. The follow-ons are the upcoming labour market data and whether similarly placed members adopt the same language ahead of the next decision. As commentary rather than a decision, the signal is directional.