The pound fell against both the euro and the dollar yesterday after Governor of the Bank of England, Mark Carney, delivered a downbeat speech on the state of the economy. Carney said that there would be a “relatively prompt response” if it looked as though the economy is set to face a period of prolonged weakness.
This follows a recent series of weak data releases, including data which showed British shoppers cut back on spending in late 2019, rounding off the weakest year on record for retail sales. Brexit uncertainty and political instability have been cited as reasons for the drop.
As expected, Boris Johnson’s Withdrawal Bill passed through the House of Commons yesterday by 330 to 231. Once passed by the House of Lords, the bill will go to the EU Parliament in preparation for the UK leaving the EU at the end of January.
In a phone call, the Prime Minister told Iranian President Hassan Rouhani that there should be “an end to hostilities”. He also stressed the UK’s commitment to the Iran nuclear deal, despite calls from President Trump to abandon it.
