Bank of England (BoE) Monetary Policy Committee (MPC) member Swati Dhingra said in a speech at a research conference hosted by Ireland’s central bank on Thursday that the United States (US) tariff policy is a major drag on global growth and prices.
Additional Comments
The primary transmission channel of tariffs to the UK in 2025 come through weaker demand, as tariffs act as a drag on global growth.
Tariffs means lower overall growth – and some downward pressure on prices in the medium term.
Market reaction
The GBP/USD pair has faced slight selling pressure after BoE Dhingra’s comments, dropping to near 1.3340 at the time of writing.
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