BoE's King faces grilling on inflation
Economists expect the BoE to leave its medium-term forecast largely unchanged, showing annual growth of 2.0 percent and inflation at 1.8 percent at the end of 2014 - below its 2 percent target - giving it leeway for more action.
King will probably reiterate during the media conference starting at 1030 GMT that the central bank stands ready to restart its bond buying stimulus programme, which it stopped last week, should the recovery falter again.
However, an unexpected jump in inflation to a five-month high of 2.7 percent in October may force the central bank to raise its near-term inflation prediction again, making any fresh stimulus for the economy a harder sell.
It raises the hurdle for more asset purchases in the near term. Inflation ... is probably heading up to 3 percent in the new year, said Rob Wood, an economist at Berenberg who previously worked as a forecaster at the BoE.
BoE observers are also keen to hear King's view on the success of the Funding for Lending scheme, which provides cheap funding to banks if they keep lending to businesses, as well as whether there is scope for other measures.
Other BoE policymakers have said gilt purchases may be losing their effectiveness, and top regulator Adair Turner - who has applied to succeed King at the helm of the BoE next
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