The British pound suffered a severe setback yesterday. Commerzbank economists They expect the pound to continue to struggle for the time being.
The BoE is torn between the Scylla of inflation and the Charybdis of recession
“The UK Office for National Statistics announced that the government deficit in December was higher than expected. Budget data is rightly a negative for GBP. Because against it, the actual economic data is under much stronger scrutiny.”
“For none of the economic areas for which our economists make projections are the prospects as pessimistic as for the UK. In this context, it seems logical to assume that the BoE faced a particularly difficult choice. between the Scylla of inflation and the Charybdis of recession. It’s hard to imagine British central bankers dominating these doings without hurting the GBP.“.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
