BOE’s Broadbent sees 'powerful demand effects' as a result of the virus impact

Dhwani Mehta FXStreet

The Bank of England (BOE) Monetary Policy Committee (MPC) member Ben Broadbent said on Monday, he sees 'powerful demand effects' as a result of the virus impact.

Additional quotes

Coronavirus crisis is quite unlike a normal cyclical downturn.

Hard to think distinctly about the hit to demand, supply.

BOE stimulus designed so that hit to demand does not outstrip that to supply.

Size of virus hit is 'very, very material'.

GBP/USD reaction

The above remarks fail to have virtually no impact on the pound, as GBP/USD attempts recovery from a drop to 1.2434.

At the time of writing, GBP/USD trades at 1.2457, still losing 0.35% on the day.

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

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