MNI China Daily Summary: Monday, Aug 19

CORRECTED-MNI RIKSBANK WATCH: August Cut On Cards

MNI: China CFETS Yuan Index Down 0.14% In Week of Aug 16

MNI: PBOC Net Drains CNY22.4 Bln via OMO Monday

MNI: PBOC Sets Yuan Parity Lower At 7.1415 Mon; +1.99% Y/Y

CHINA PBOC CONDUCTS CNY52.1 BILLION VIA 7-DAY REVERSE REPOS MON

Headline Consumer Sentiment Softens, House Price Expectations Rise Further

EZ/UK Bond Supply Calendar: Finland Syndi; Green Bunds Due Tues

CBRT Data Watch

RPT-MNI: Canada Sticks To Fiscal Anchors, Spends Chunk Of Windfall

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

BOE: What we know about new MPC member Alan Taylor

BOE
Bank of EnglandCentral Bank NewsCEEMEABulletUKGlobalFixed Income BulletsForeign Exchange BulletsRegion
  • Last week saw the announcement that Alan Taylor would replace Haskel as an external MPC member on 1 September (following the end of Haskel’s second non-renewable term). Taylor will initially be appointed on a once-renewable 3-year term.
  • Not much is known on Taylor’s recent UK views, but he is a well respected economist who is a professor at Columbia University having originally been born in the UK. He also has experience in financial markets, having worked as a global economist at Morgan Stanley and as an advisor at PIMCO.
  • He has written prominent papers on PPP (purchasing power parity of exchange rates) and international trade.
  • His research a few years ago into r* did suggest that he thought it was a little lower than comparable estimates, but this work was largely based on pre-Covid estimates – so isn’t necessarily fully consistent with his current views on the UK economy.
  • Where is he therefore likely to sit on the spectrum of the MPC? He is replacing Haskel, so even if he is very hawkish the composition of the MPC would not have changed. The more likely and impactful scenario is that the balance of the MPC will shift a bit more to the dovish side.
  • Given his focus on international economics and trade the MPC member with the most similar current background is Dhingra (who is of course by far the most dovish members). We are not saying that Taylor is likely to be as dovish as Dhingra, of course, but it seems likely that the balance of the MPC can only become less rather than more hawkish from his appointment.
265 words

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
  • Last week saw the announcement that Alan Taylor would replace Haskel as an external MPC member on 1 September (following the end of Haskel’s second non-renewable term). Taylor will initially be appointed on a once-renewable 3-year term.
  • Not much is known on Taylor’s recent UK views, but he is a well respected economist who is a professor at Columbia University having originally been born in the UK. He also has experience in financial markets, having worked as a global economist at Morgan Stanley and as an advisor at PIMCO.
  • He has written prominent papers on PPP (purchasing power parity of exchange rates) and international trade.
  • His research a few years ago into r* did suggest that he thought it was a little lower than comparable estimates, but this work was largely based on pre-Covid estimates – so isn’t necessarily fully consistent with his current views on the UK economy.
  • Where is he therefore likely to sit on the spectrum of the MPC? He is replacing Haskel, so even if he is very hawkish the composition of the MPC would not have changed. The more likely and impactful scenario is that the balance of the MPC will shift a bit more to the dovish side.
  • Given his focus on international economics and trade the MPC member with the most similar current background is Dhingra (who is of course by far the most dovish members). We are not saying that Taylor is likely to be as dovish as Dhingra, of course, but it seems likely that the balance of the MPC can only become less rather than more hawkish from his appointment.