JPM's Kelly Says BOE Faces 'Tropical Storm' of Brexit

The transcript discusses the dynamics of market bias and the importance of two-way risk, highlighting the Bank of England's approach to managing unemployment rates and inflation. It explores the impact of currency repricing on inflationary pressures and commodity prices. The conversation shifts to central banks' strategies for policy normalization, with a focus on the Federal Reserve's actions. The lack of wage inflation despite low unemployment rates is analyzed, along with the resulting asset price distortions. Finally, the unique challenges posed by Brexit on the British economy are examined.

In what ways does Brexit create uncertainty for the British economy?

What factors are contributing to the distortion of asset markets in the current economic climate?