Times Online: Bank of England moves to dampen fears of rate rise

In many mays, David Smith is extraoridnarily naiive when he puts pen to paper. He believes that by stating something, it might just become so. Example - the first line of his article reads "THE Bank of England is set to calm fears this week that it will respond to inflationary worries with early interest-rate rises." Why is the bank set to do this? Becuase he says it is in today's Times Online! Even though this odd strategy has never worked, and has indeed sunk his own credibility in the process, he persists. I suppose Smith hopes that contrary to what the LIBOR is doing, and contrary to what the ECB is doing, somehow Mervyn King telling the UK that 'inflation will return to the long term target' might just make everyone forget about soaring food costs and soaring petrol prices.