GBP/USD remains subdued near 1.3350 ahead of BoE policy decision
GBP/USD holds losses after two days of gains, trading around 1.3350 during the Asian hours on Thursday. The pair depreciates ahead of the Bank of England’s (BoE) interest rate decision due later in the day. Traders will shift their focus toward US weekly Initial Jobless Claims due later in the North American session.
The Bank of England (BoE) is poised to deliver a 25 bps interest rate cut, with median market forecasts expecting the Monetary Policy Committee (MPC) to vote 7-to-3 in favor of a quarter-point trim, bringing the BoE’s main reference rate down to 4.0% from 4.25%. BoE Monetary Policy Report will also be eyed to assess of the prospects for UK inflation over the following two years. Read more…
GBP/USD extends bullish rebound ahead of expected BoE rate cut
GBP/USD caught a much-needed lift on Wednesday, rising back above 1.3350 as bullish momentum claws back chart paper following last week’s one-sided plunge into 15-week lows near 1.3140. The Bank of England (BoE) is on the board for Thursday, poised to deliver a 25 bps interest rate cut.
Cable has extended into a bullish leg back up, climbing for three of the last four trading sessions, and bouncing nearly 1.75% bottom-to-top after chalking in a technical rebound from the 200-day Exponential Moving Average (EMA) near 1.3175. With a technical floor priced in from the 1.3200 handle, the way is clear for GBP/USD bulls to continue muscling the pair back into the last swing high near the 1.3600 region. Read more…
GBP/USD climbs to 1.3340 ahead of BoE meeting Fed speaker blitz
The GBP/USD climbs solidly during the North American session, up by 0.37% ahead of the Bank of England’s (BoE) meeting and as traders digest the recent Nonfarm Payroll figures, and over the weekend developments, that opened a spot for US President Trump to nominate a Fed Governor. At the time of writing, the pair trades at 1.3342.
The Bank of England is expected to reduce rates by 25 basis points, to 4%, according to money market futures data. The decision is expected not to be unanimous, with banks like Morgan Stanley expected to hold, Catherine Mann, a 50 basis points cut, Swati Dhingra, and the rest of the Monetary Policy Committee (MPC) voting for a 25 basis points cut. Read more…
