Mortgage payment holidays were introduced in the UK March 2020 to help households who might have struggled with mortgage payments during the Covid-19 pandemic. Using transaction-level data, this column finds that payment holidays supported consumption during the pandemic for more financially vulnerable households, while more financially stable households on a payment holiday
<h3>FX Option Volume</h3>
<p>Bank of England Staff Working Paper<br />By Robert Czech, Pasquale Della Corte, Shiyang Huang, and Tianyu Wang</p>
<p>The study examines the relationship between the volume of foreign exchange (FX) options traded over-the-counter and future exchange returns. The analysis is based on transactions reported to the Depository Trust & Clearing Corporation derivatives repository.</p>