Pound Sterling Price News and Forecast: GBP/USD hawkish BOE hike could lift the pound to 1.2660 [Video]
|GBP/USD retraces FOMC bounce, but will the bulls give up? [Video]
GBPUSD closed confidently above the 1.2570 resistance area on Wednesday after a short period of consolidation, raising hopes that the bounce off 1.2410 may get new legs in the short term ahead of today’s BoE policy announcement (12:00 GMT). Read more...
GBP/USD Forecast: Hawkish BOE hike could lift the pound to 1.2660
GBP/USD has lost its traction and retreated to the 1.2550 area early Thursday after having gained more than 100 pips late Wednesday. The pair faces a two-sided risk in the short term depending on the Bank of England's (BOE) policy announcements.
The BOE is widely expected to hike its policy rate by 25 basis points in May. When the bank decided to raise the rates in March, one member of the Monetary Policy Committee (MPC) voted against the decision, triggering a GBP selloff. It wouldn't be a surprise if John Cunliffe, the dissenter in March, were to vote to keep the rates unchanged. If more members do the same, the British pound could come under heavy bearish pressure. Read more ...
GBP/USD plunges to its lowest level since July 2020 after BoE’s gloomy economic outlook
The GBP/USD pair weakened further below the 1.2400 mark and touched its lowest level since July 2020 in reaction to the Bank of England's dovish outlook.
As was widely anticipated, the UK central bank lifted its key interest rate for the fourth time in the current tightening cycle to curb inflation. The vote distribution indicated that three MPC members were in favour of raising interest rates by 50 bps. Moreover, the BoE, in the accompanying policy statement, noted that some degree of further tightening in monetary may still be appropriate in the coming months. Read more ...
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.