- The GBP/JPY shoots about 193.00 while the BOE maintains a path of gradual and cautious relaxation after cutting interest rates in 25 basic points, up to 4.25%.
- Two MPC members of the BOE favored maintaining stable interest rates at 4.5%.
- Inflation risks for Japan’s economy have decreased aggressive expectations of the BOJ in the short term.
The GBP/JPY torque extends its intradía bullish movement about 193.00 during the European afternoon after the announcement of the monetary policy of the Bank of England (BOE). The BOE cut its interest rates in 25 basic points (BPS), up to 4.25%, as expected, for the fourth time in its current policy relaxation cycle.
Theoretically, lower interest rates by the BOE are bad for sterling pound (GBP). However, the British currency has strengthened since some officials voted in favor of maintaining indebtedness rates by 4.5%. In addition, the BOE has maintained a “gradual and careful” approach towards greater monetary expansion and raised its prognosis of the Gross Domestic Product (GDP) for the current year to 1% from 0.75% projected in February.
The members of the Monetary Policy Committee (MPC) of the BOE, Catherine Mann and the chief economist Huw Pill, favored to maintain interest rates at 4.5%. Meanwhile, Swati Dhingra officials and Alan Taylor voted in favor of a higher interest rate cut than usual for 50 BPS.
Meanwhile, investors are prepared for more volatility in the sterling pound since the president of the United States (USA), Donald Trump, is scheduled to announce a commercial agreement with the United Kingdom (United Kingdom) at 14:00 GMT, which he referred to as a “highly respected country” in a publication in Truth. A “The New York Times” report showed that the country is the United Kingdom.
In the front of Tokyo, the Japanese yen (JPY) behaves below what expected in all areas, since investors doubt that the Bank of Japan (BOJ) increases the short -term interest rates, given the risk of the commercial war led by President Trump.
And in Japanese price today
The lower table shows the rate of change of Japanese Yen (JPY) compared to the main currencies today. Yen Japanese was the strongest currency in front of the Japanese yen.
| USD | EUR | GBP | JPY | CAD | Aud | NZD | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | 0.05% | -0.29% | 0.59% | 0.36% | 0.12% | 0.24% | 0.21% | |
| EUR | -0.05% | -0.33% | 0.54% | 0.28% | 0.07% | 0.20% | 0.16% | |
| GBP | 0.29% | 0.33% | 0.89% | 0.62% | 0.42% | 0.53% | 0.46% | |
| JPY | -0.59% | -0.54% | -0.89% | -0.25% | -0.47% | -0.36% | -0.43% | |
| CAD | -0.36% | -0.28% | -0.62% | 0.25% | -0.23% | -0.11% | -0.19% | |
| Aud | -0.12% | -0.07% | -0.42% | 0.47% | 0.23% | 0.13% | 0.06% | |
| NZD | -0.24% | -0.20% | -0.53% | 0.36% | 0.11% | -0.13% | -0.07% | |
| CHF | -0.21% | -0.16% | -0.46% | 0.43% | 0.19% | -0.06% | 0.07% |
The heat map shows the percentage changes of the main currencies. The base currency is selected from the left column, while the contribution currency is selected in the upper row. For example, if you choose the Japanese yen from the left column and move along the horizontal line to the US dollar, the percentage change shown in the picture will represent the JPY (base)/USD (quotation).
The minutes of the March meeting of the BOJ, in which the Central Bank maintained the stable interest rates at 0.5%, showed that the officials warned about the downward risks for the domestic economy, caused by international US policies. ” It was quite possible that these risks even had a significant negative impact on Japan’s real economy, “said a member of the BOJ, Reuters reported.
Economic indicator
Decision on the BOE interest rate
He Bank of England Announce your decision on the interest rate at the end of your eight meetings scheduled per year. If the BOE adopts a hard line posture on the inflationary perspectives of the economy and elevates interest rates, it is generally bullish for sterling pound (GBP). Similarly, if the BOE adopts a moderate vision of the United Kingdom economy and keeps interest rates without changes, or reduces them, it is considered bassist for the GBP.
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Last publication:
play May 08, 2025 11:02
Frequency:
Irregular
Current:
4.25%
Dear:
4.25%
Previous:
4.5%
Fountain:
Bank of England
he
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.
