GBP edges over 1.33 after BoE decision – Scotiabank

FXStreet
Updated
Mitrade
coverImg
Source: DepositPhotos

The BoE left policy on hold, as expected at today’s policy decision. The Pound Sterling (GBP) is slightly firmer on the hold, Scotiabank’s Chief FX Strategist Shaun Osborne notes.


BoE puts the rate on hold


"Policymakers were split on the decision again but the 8-1 vote was a bit cleaner than the 7-2 expected by markets. Swaps are pricing out a small amount of BoE easing risk over the balance of this year. Governor Bailey said the BoE should be able to cut rates ‘gradually’ over time. There is no press conference today but the governor and MPC member Mann are speaking tomorrow.”


“The Pound Sterling (GBP) is slightly firmer on the hold and split decision but gains through the low 1.33s take Cable to its highest since March 2022. GBP is finding firm support on weakness to the 1.3150 area and has rebounded strongly from yesterday’s late session to retest the 1.33 area.”


“GBP is maintaining a steady trend appreciation against the USD, supported by a bullish alignment of trend strength oscillators across the short-, medium– and long-term charts. Key resistance sits at 1.3330 (long-term retracement) ahead of a return to the 1.35/1.40 zone.”

* The content presented above, whether from a third party or not, is considered as general advice only.  This article should not be construed as containing investment advice, investment recommendations, an offer of or solicitation for any transactions in financial instruments.

goTop
quote
Do you find this article useful?
Related Articles
placeholder
GBP/USD weakens below 1.3350, UK/US PMI data in focusThe GBP/USD pair edges lower to 1.3310, snapping the three-day winning streak during the early Asian session on Monday. The modest recovery of the US Dollar (USD) weighs on the major pair.
Author  FXStreet
Sep 23, Mon
The GBP/USD pair edges lower to 1.3310, snapping the three-day winning streak during the early Asian session on Monday. The modest recovery of the US Dollar (USD) weighs on the major pair.
placeholder
BoE expected to keep interest rate unchanged at 5% as price pressures persistAfter a close call in August, the Bank of England’s (BoE) September interest rate decision is keenly awaited for fresh cues on the bank’s future policy action and the pace of its bond sales.
Author  FXStreet
Sep 19, Thu
After a close call in August, the Bank of England’s (BoE) September interest rate decision is keenly awaited for fresh cues on the bank’s future policy action and the pace of its bond sales.
placeholder
GBP/USD: GBP to face significant resistance at 1.3300 – UOB GroupFurther Pound Sterling (GBP) GBP strength is not ruled out, but any advance is expected to face significant resistance at 1.3300, UOB Group Quek Ser Leang and Victor Yong note.
Author  FXStreet
Sep 19, Thu
Further Pound Sterling (GBP) GBP strength is not ruled out, but any advance is expected to face significant resistance at 1.3300, UOB Group Quek Ser Leang and Victor Yong note.
placeholder
Weekly Insights: ECB Cuts Interest Rates to 3.5%Welcome to the Weekly Insights, which provides you with the most valuable information of this week.
Author  Mitrade
Sep 14, Sat
Welcome to the Weekly Insights, which provides you with the most valuable information of this week.
placeholder
GBP/USD eases from daily top on weaker UK data, hovers around 1.3100 ahead of US CPIThe GBP/USD pair builds on the overnight modest bounce from the 1.3050-1.3045 region, or over a three-week trough and gains some follow-through positive traction for the second successive day on Wednesday.
Author  Mitrade
Sep 11, Wed
The GBP/USD pair builds on the overnight modest bounce from the 1.3050-1.3045 region, or over a three-week trough and gains some follow-through positive traction for the second successive day on Wednesday.