The BoE monetary policy committee kept the voting pattern unchanged with only one of the nine policymakers voted in favour of a rate hike. The central bank slashed its forecasts for the economic outlook to 2.7% in 2015 and 2.5% in 2016. Following that the sterling plunged versus the dollar as we suggested earlier in our analysis, "GBP/USD on Super Thursday!", as well as the in the morning report "Super Thursday for GBP; Fed Hints December Rate Hike", closing a profit of 100 pips! The pair plunged significantly below the suggested target of 1.5290, recording a fresh weekly low at 1.5265. Around there, the shortâ€term ascending trend line is trying to hold the price, as the pair retraced back to 1.5300 as writing, and both forces, the bulls and bears, are trying to win a territory near the psychological 1.53 level. The next key level to watch will be the 1.5240 hurdle.
BoE also lowered the inflation rate forecasts and sees a consumer prices growth above the bank's 2% target of 2.1% in the fourth quarter of 2017 and 2.2% the year later. The latest development postpones the first interest rate hike from BoE and maybe until early 2017.
The content we produce does not constitute investment advice or investment recommendation (should not be considered as such) and does not in any way constitute an invitation to acquire any financial instrument or product. JFD Group, its affiliates, agents, directors, officers or employees are not liable for any damages that may be caused by individual comments or statements by JFD Group analysts and assumes no liability with respect to the completeness and correctness of the content presented. The investor is solely responsible for the risk of his investment decisions. Accordingly, you should seek, if you consider appropriate, relevant independent professional advice on the investment considered. The analyses and comments presented do not include any consideration of your personal investment objectives, financial circumstances or needs. The content has not been prepared in accordance with the legal requirements for financial analyses and must therefore be viewed by the reader as marketing information. JFD Group prohibits the duplication or publication without explicit approval.
72,99% of the retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money. Please read the full Risk Disclosure: https://www.jfdbank.com/en/legal/risk-disclosure
Recommended Content
Editors’ Picks
EUR/USD holds gains above 1.0700 as USD struggles ahead of data
EUR/USD is posting small gains above 1.0700 in the European session on Thursday. The pair remains underpinned by a sustained US Dollar weakness, in the aftermath of the Fed policy announcements and ahead of more US employment data.
GBP/USD stays firm above 1.2500 amid US Dollar weakness
GBP/USD is consolidating the rebound above 1.2500 in European trading on Thursday. The pair's uptick is supported by a broadly weakness US Dollar on dovish Fed signals. A mixed market mood could cap the GBP/USD upside ahead of mid-tier US data.
Gold price trades with modest losses amid positive risk tone, downside seems limited
Gold price edges lower amid an uptick in the US bond yields, though the downside seems cushioned. A positive risk tone is seen as another factor undermining demand for the safe-haven precious metal.
Top 3 Price Prediction BTC, ETH, XRP: Altcoins to pump once BTC bottoms out, slow grind up for now
Bitcoin reclaiming above $59,200 would hint that BTC has already bottomed out, setting the tone for a run north. Ethereum holding above $2,900 keeps a bullish reversal pattern viable despite falling momentum. Ripple coils up for a move north as XRP bulls defend $0.5000.
Happy Apple day
Apple is due to report Q1 results today after the bell. Expectations are soft given that Apple’s Chinese business got a major hit in Q1 as competitors increased their market share against the giant Apple.