BOE’s Fisher Says Pound Level Inconsistent With Trade Gap Size
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Bank of England Markets Director Paul Fisher said the U.K.’s trade deficit is inconsistent with a stronger pound exchange rate.
“We are still, as a nation, running a large deficit in terms of our external trade,” Fisher said in an interview on BBC Radio Five Live today. “That’s not consistent with a stronger exchange rate. A stronger exchange rate in the long run makes us all better off. In the short run, a stronger exchange rate discourages exports.”