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Bank of England might cut or raise rates after no-deal Brexit - Haldane

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Bank of England might cut or raise rates after no-deal Brexit - Haldane

Bank of England might cut or raise rates after no-deal Brexit - Haldane
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TOBY MELVILLE(Reuters)
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LONDON (Reuters) - Bank of England Chief Economist Andy Haldane said on Thursday that the central bank could decide to raise interest rates or to cut them if there was a disorderly, no-deal Brexit.

The decision would depend on the balance of factors such as a fall in the value of the pound and the reduction in supply -- such as less investment and fewer migrant workers -- which would push up inflation, against the hit to demand, he said.

"It is genuinely two-sided which way we might act and how we will act will depend upon that balance of demand, supply and the exchange rate, just as it did pre-referendum," Haldane said during a question-and-answer event at the Institute for Government think tank in London.

(Reporting by Andy Bruce; Writing by William Schomberg)

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