BoE Haldane: Further peaks in coronavirus will surely come – Reuters

Bank of England chief economist Haldane suggests that UK economic output likely fell 25% over 3 month period.

Haldane also predicts continuous bouts of coronavirus peaks. 

Further waves of the novel coronavirus are surely on the way and they will be one of the determinants of Britain's economic outlook, Bank of England Chief Economist Andy Haldane said on Tuesday.

"How big will be the second and third and fourth wave peaks? They surely will come," Haldane said in an online talk for Buckingham University.

"What's to play for is how large those peaks will be."

Key comments

• Says the direction of travel has been upwards, that upwards path has come sooner and faster than any mainstream forecaster expected.
• Says UK economic output likely fell 25% over 3 month period.
• Says further peaks in coronavirus will surely come, question for economy is how big they will be.
• Says by end of this year, BoE asset purchases could be around 750 bln.
• Says we've seen a hefty bounce-back in household spending.

GBP/USD update

• GBP/USD Price Analysis: Cable edges toward psychological 1.26 where a key Fib level lies