BOE's Tenreyro: Monetary policy should not try to offset short-lived shocks

"I expect supply-chain bottlenecks to fade next year," Bank of England (BOE) policymaker Silvana Tenreyro said on Friday, as reported by Reuters.

Additional takeaways

"Labour market uncertainty is the main short-term uncertainty I focus on."

"Monetary policy should not try to offset short-lived shocks, but central banks are in trade-off territory."

"Labour market data is particularly hard to read in many economies."

"Significant uncertainty about how fast furloughed workers will find jobs."

Market reaction

The GBP/USD pair showed no immediate reaction to these remarks and was last seen losing 0.27% on the day at 1.3462.