Bank of England deputy governor speaking on BBC radio 17 Oct
- allowing sterling to react is an extremely important shock absorber for UK economy
- having a flexible currency extremely important
"Having a flexible currency is an extremely important thing, especially in an environment when your economy faces shocks that are different from your trading partners,"
"In the shape of the referendum, we've had exactly one of those shocks. Allowing the currency to react to that I think is a very important shock absorber."
More BOE talk of overshooting inflation target following Carney and others' recent comments. Seems like no rush to stem GBPs fall anytime soon.
GBPUSD unfazed at 1.2166. EURGBP 0.9027
BOE's Broadbent also sees inflation overshooting target