Sterling falls after Bank of England's statements

The British pound fell against the US dollar on Thursday, following statements by Bank of England's officials, which focus continued on the ongoing Brexit talks between the United Kingdom and the European Union.

Many observers believe that the UK is going toward a no-deal Brexit scenario (no trade deal), as significant gaps remain between London and Brussels regarding a deal about the main issues such as the customs union.

The European Commission's President Michel Barnier stated that any deal with the UK will respect the sovereignty of the UK and the independence of the European Union.

Otherwise, BOE Deputy Governor Dave Ramsden said there is a real risk of a more persistent period of higher unemployment, and the recent strength in income growth might not be sustained as the coronavirus crisis continues.

This came as coronavirus continues to spread rapidly in the UK, which forced Prime Minister Boris Johnson to tighten the lockdown measures for the next few months.

As of 21:00 GMT, GBP/USD fell 0.5% to 1.3077, after hitting a high of 1.3153 and a low of 1.3070.