Andrew Hauser: Seven moments in spring - Covid-19, financial markets and the Bank of England's balance sheet operations

Speech by Mr Andrew Hauser, Executive Director for Markets of the Bank of England, at Markets Bloomberg, London 4 June 2020.

The views expressed in this speech are those of the speaker and not the view of the BIS.

Introduction

I have always had a funny feeling about Friday the 13th - and 13 March 2020, Mark Carney's last day in the office as Governor of the Bank of England, was no exception.

Two days earlier, on Wednesday 11 March, the Bank and HM Treasury had launched an unprecedentedly comprehensive package of measures to respond to the rapidly growing economic consequences of the spread of Covid-19. Hailed globally as a shining example of how monetary, fiscal and regulatory policies could work together to reinforce one another, the combination of interest rate cuts, government spending, cheap funding and capital easing measures seemed sure to stabilise markets and restore some much-needed confidence to households and businesses.

So it cannot have been hugely welcome when, on Friday morning, with the removal vans waiting outside,

I suggested the Bank's Governors needed to meet again before the weekend.