Carney lays out plans A-Z but it's all wait and see stuff
The BOE have as much knowledge of the potential upset from the Brexit vote as the rest of us. We can't trust the politicians to give us any straight answers as there's two sides talking their own books.
The BOE is therefore the largest independent UK authority who should be able to give us some straight answers about the risks, and even their hands are tied somewhat as they don't want to step into the political realm. Despite the same questions from the press, asked 15 different ways, the BOE has shown that there are no simple scenarios surrounding the vote and that the best practice is to wait until the car crashes before deciding what help is needed. If things go down the crapper they'll act, and that's the least we should expect.
The question now is whether the market is happy with the safety net the BOE will provide. If it is then that's going to remove some of the risk factor from pound trades. On the basis of today, I think that is the case and it shifts the spotlight onto other risk areas.
We get one more meeting a week before the vote and any final touches to plans will likely be set out then.
Carney's got our backs
