In another central bank surprise last week the Bank of England, with newly installed Canadian Mark Carney as head, did drop the unexpected on investors. Sounding more dovish than anticipated, even as the BOE left policy unchanged, the bank raised concerns about rising yields, saying they were not warranted in the current economy. Sterling fell to a four month low. Given that investors were not expected Carney to do to much at all at his first meeting, it was the equivalent of a very large flashing neon sign that Carney is going to be very much hands-on and pro-active in dealing with the UK economy. Investors are now eager to see the BOE minutes, set for release in two weeks, for clues on what Carney may do in the future. It is not business as usual at the BOE. Expect some volatility in sterling this week as investors recover from the shock.