The Cable is reaching daily highs after the BoE MPC minutes had a 7-1 vote to keep UK rates on hold at 0.50%. Mr. Andrew Sentence decided to vote for a 0.25 bps hike. Analysts were caught off guard expecting a full “unchanged rate” vote.
GBP/USD rose to daily highs at 1.4916, although a late retreat sent the rate just below 1.4900 at present. EUR/GBP moved to 0.8240, hitting its lowest level since June 11. Meanwhile, GBP/JPY climbed to 135.60, approaching daily highs.
The RANsquawk Research Team had previously commented: “Given that the new government is about to embark on austerity measures to preserve the country’s ‘AAA’ sovereign rating, the BoE will likely remain on the sidelines and not steal the limelight from the newly formed coalition government by altering monetary policy”.
No comments:
Post a Comment