Home/FX/Newsfeed

GBP Falters After BoE Inflation Report Keeping Rate Hike to 2015

Share Print 0

The British pound slipped to a four-week low against the dollar on Wednesday morning after investors were left disappointed following the Bank of England’s (BoE) inflation report.

The U.K. central bank left its growth and inflation forecasts broadly unchanged, meaning a rise of its main benchmark rate is still expected in the first half of 2015. This surprised markets and a recent run-up in the currency quickly reversed after the release. Sterling fell to $1.6757 after trading higher for much of the session and peaking at $1.6874.

BoE Governor Mark Carney played down expectations of an earlier-than-expected rise in interest rates at a press conference following the report. He said that a hike would depend on the degree of slack in the U.K. economy, and the prospects for its absorption.

via CNBC

Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.

Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency
trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza

@alfonso_forex

,
Back to Top