In this speech, Andrew Sentance, a member of the Monetary Policy Committee, discusses the recent fall in the value of sterling and its implications for monetary policy. He argues that the fall in sterling since mid-2007, particularly against the euro, reflects weaker prospects for UK domestic...

This paper examines co-movements and volatility spillovers in the returns of the euro, the British pound, the Swiss franc and the Japanese yen vis-à-vis the US dollar before and after the introduction of the euro. Based on dynamic correlations, variance decompositions, generalized VAR analysis,...