Free Trial

Q: The MPC says estimates are predicated on.....>

BOE
BOE: Q: The MPC says estimates are predicated on deep trade relationship with
EU. How would not reaching a trade deal with EU impact these growth and
inflation numbers?
- A: We take government policy as given. The assumption is an immediate move
from transition on Dec31 to deep, free trade agreement with EU. We are assuming
this will be orderly (all necessary infrastructure etc is in place). What is
different about Jan's forecast vs. November is the immediacy of the transition
to free-trade. Over course of next year, subsequent MPCs may have to adjust
these assumptions and tweak forecasts as the negotiation period evolves. On
alignment, divergence of regulation may emerge over time. This doesn't have
material impact on forecasts.

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.