Bank of England Reports Published in April 2020

Financial Policy Committee Statement – Read the report

The Financial Policy Committee (FPC) met on Thursday 9 April to review developments in the financial system related to the outbreak and spread of Covid-19 (Coronavirus).

State on Regulatory Treatment of the UK Coronavirus Business Interruption Loan Scheme (CBILS) and the UK Coronavirus Large Business Interruption Loan Scheme (CLBILS) – Read the report

PRA statement in response to HM Treasury’s announced changes to UK Coronavirus (Covid-19) business interruption loan schemes.

Foreign Currency Reserves 2020 – Market Notice 23 April 2020 – Read the report

As part of the monetary policy framework introduced by the Chancellor of the Exchequer in 1997, the Bank of England holds its own foreign exchange reserves in support of its monetary policy objective.

Coronavirus: Stock Markets Boosted by Remdesivir Drug Hopes

From: The BBC

Shares in the US and Asia have risen on hopes that an experimental drug could help treat symptoms of Covid-19.

A leading US infectious disease expert said that early results of a clinical trial on anti-viral treatment remdesivir were “quite good news”.

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Asian Stocks Higher Ahead of US Fed Reserve Decisions

From: Daily Forex

Asian stocks rose during the trading session on Wednesday, amid optimism about easing restrictions related to the coronavirus and expectations for strong profits for US technology companies, which helped sentiments ahead of the announcement of the Federal Reserve monetary policy scheduled later today.

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Lagarde Puts Limits on ECB’s Role

From: Daily Forex

The European Central Bank’s President Christine Lagarde made clear that the role of the Bank is limited in terms of facing the current economic slowdown.

Lagarde highlighted that lending directly to the Eurozone governments would be illegal and would undermine fiscal discipline in the Eurozone.

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Sterling Stays Flat as Uncertainty About Lockdown Measures Remains

From: Reuters

The pound was neutral on Thursday and remained driven by global risk appetite, as well as by the fact that Britain seems to lag its European counterparts in planning to ease the lockdown restrictions imposed to fight the novel coronavirus.

Britain now has Europe’s second-highest official COVID-19 death toll with more than 26,000, closely lagging Italy, according to figures published on Wednesday.

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Euro Flat Ahead of ECB Meeting; Dollar Recovers Slightly as Caution Returns

From: Reuters

The euro was broadly flat on Thursday ahead of euro zone GDP data and the European Central Bank meeting, while the dollar started to recover in early London trading after a risk-on mood saw it fall overnight.

Although lockdown and social distancing measures were introduced for only a small proportion of the first quarter, euro area GDP is expected to decline 3.5% quarter-on-quarter, according to a Reuters poll.

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FX Rates in April