GBP/USD moves lower for the fourth day in a row amid sustained buying interest around the USD. Expectations of an aggressive Fed rate hike and risk-off sentiment drive USD to more than two-year highs. Diminishing odds of further Bank of England tightening also weighs on the British pound. The pair GBP/USD has seen some selling […]
Tag: BOE
Ready to challenge the 1.25 level – ING
The British pound continues to trade with a fragile tone. ING economists expect the GBP/USD pair to test the 1.25 level. EUR/GBP could move lower in the range of 0.83-0.84 “Most feel now that GBP/USD has yet to test 1.2500, while 1.2850 will now act as strong resistance if he achieves that maximum”. “One of […]
Pullback extends, falls back towards 163.00
GBP/JPY has extended after last Friday’s losses and is back trading near two-week lows in the 163.00 area. Risk aversion flows and an associated drop in UK bond yields were the main factor driving the decline on Monday. The cross is now trading more than 3.0% below last week’s high above 168.00. The crossing GBP/JPY […]
GBP/JPY drops around 200 pips to 165.00, poised for worst close since March
GBP/JPY has turned decisively lower on Friday, falling more than 200 pips to 165.00 from previous highs above 167.50. Weak UK data and risk aversion flows into US stock markets were the main catalysts for the decline. That was enough to offset dovish comments from BoJ Governor Kuroda. The GBP/JPY has turned decisively lower on […]
GBP/USD continues to trade below 1.2900
GBP/USD continues to trade below 1.2900 and eyes a test of the November 2020 lows at 1.2850. It is down from above 1.3000 on the back of poor UK Retail Sales, Consumer Confidence and PMI data earlier this session. Additional evidence of weak consumption/consumer confidence undermines the case for a more aggressive BoE tightening this […]
EUR/GBP jumps to new highs of more than two weeks near 0.8400
EUR/GBP gains strong positive traction on Friday and rises to a near three-week high. The dismal UK retail sales weigh heavily on the British pound and support the pair’s move higher. Expectations for an ECB rate hike benefit the Euro and provide an additional boost to the pair. The crossing EUR/GBP has captured some aggressive […]
Incorporating current inflation into company prices is a concern
Bank of England policy chief Catherine Mann said on Thursday that the The consequent incorporation of current headline inflation into companies’ own prices is a cause for concern because it may point to a situation in 2023 where prices remain strong even as demand remains weakas reported by Reuters. Additional comments The Bank of England […]
EUR/GBP rises to 10-day highs near 0.8365 ahead of Bailey and Lagarde
EUR/GBP gains strong positive traction on Thursday and recovers to a near two-week high. Upbeat comments the day before from ECB policymakers buoyed the common currency. Dovish action around the British pound did little to dampen the strong positive intraday move. The crossing EUR/GBP has extended its strong intraday gains and has jumped to a […]
GBP/USD consolidates around 1.3000
GBP/USD spent Tuesday flirting with the 1.3000 level and held just above last week’s yearly lows. With the BoE increasingly at risk of disappointing market tightening expectations, a break below 1.3000 soon remains a risk. The GBP/USD flirted with the 1.3000 level on Tuesday, with bears eyeing but failing to test last week’s multi-month lows […]
GBP/JPY consolidates near six-year highs at 165.00
GBP/JPY has spent most of Monday’s quiet trading session near six-year highs around the 165.00 level. The pair trades more than 9.0% above March lows, with gains driven by BoE/BoJ policy divergence. The next key support area is not until the 175.00 area, 6.0% higher than current levels. The GBP/JPY has spent most of Monday’s […]