Comments by BOE executive director for markets, Andrew Hauser
- The rush for cash during lockdown was the "biggest test of core market functioning and resilience" since the global financial crisis
- Markets could come under strain again, if there is another leg to the coronavirus global infection cycle, or if economic data is persistently worse-than-expected
There's certainly the possibility but it will be very tough to imagine as severe a global economic and financial hit than what we saw in March to April, amid nearly simultaneous lockdown measures enacted in most major economies.
The fact is, it is going to take a threat of the virus contagion being worse than the initial outbreak to likely spark governments to take drastic action once again.
Otherwise, it will be more of a case for them putting out fires whenever they see one on a best effort basis to not risk another economic and financial meltdown.
During the interim, the cost of people's lives will sadly and unfortunately be the price to pay but that will slowly get drowned out over time as the world looks to move forward.
