Carney speech: Monetary policy can do little to offset large, negative supply shocks

Bank of England Governor Mark Carney is now delivering his remarks on the monetary policy outlook in a press conference.

Key quotes (via Reuters)

• Economy is broadly in balance, inflation above target in contrast to before referendum.
• Monetary policy can do little to offset large, negative supply shocks.
• MPC could extend horizon over which it returns inflation to target, if post-Brexit shock to demand greater than supply.

Related articles

Bank of England leaves policy rate unchanged at 0.75% as expected.

In a widely expected decision, the Bank of England's Monetary Policy Committee held the policy rate unchanged at 0.75% with a unanimous vote. The asset purchase facility remained steady at €435 billion as well. 

GBP/USD jumps back above 1.2900 handle post-BoE.

The GBP/USD pair quickly reversed a mid-European session dip to mid-1.2800s and spiked to fresh one-week tops, beyond the 1.2900 handle post-BoE.

About Mark Carney 

Mark Carney is Governor of the Bank of England and Chairman of the Monetary Policy Committee, Financial Policy Committee and the Board of the Prudential Regulation Authority. His appointment as Governor was approved by Her Majesty the Queen on 26 November 2012. The Governor joined the Bank on 1 July 2013.