- The pound rises throughout the market following the decisions of the Bank of England.
- BoE maintains monetary policy unchanged as expected.
- GBP / USD tests levels above 1.3700.
The GBP / USD gained momentum after the Bank of England (BoE) meeting and climbed to 1.3708, reaching the highest level since Monday. In this way, it prolonged the recovery after having fallen to the area of 1.3600 hours ago, the lowest level in a month.
The BoE’s Monetary Policy Committee (MPC), as expected, kept the interest rate at 0.10%, and the purchase program at £ 895 billion. The vote for the rates was 9 to 0, while there were two members who asked to reduce the shopping program.
The message from the BoE that boosted the pound was the mention that the case for a monetary tightening is being assembled, which means that reality would soon justify some kind of cut in the buying program.
The pound rose on all fronts and became the best performing on the market. The EUR / GBP fell below 0.8550, while GBP / USD is trying to assert itself above 1.3700.
I am Derek Black, an author of World Stock Market. I have a degree in creative writing and journalism from the University of Central Florida. I have a passion for writing and informing the public. I strive to be accurate and fair in my reporting, and to provide a voice for those who may not otherwise be heard.