Last BoE meeting hasn't become a game changer for GBP – Danske Bank
Source Fxstreet
EUR/GBP ended the day lower on the back of a hawkish vote split at yesterday's BoE meeting, where the BoE kept the Bank Rate unchanged at 4.50% in line with expectations, Danske Bank's FX analyst Jens Nærvig Pedersen reports.
EUR/GBP set to move lower in the near term
"The central bank maintained its previous guidance signalling a 'gradual and careful' approach to easing monetary policy. Although the vote split was slightly to the hawkish side, we do not see this as a broad shift in sentiment within the MPC. We expect the next 25bp cut in May with the Bank Rate ending the year at 3.75%."
"For GBP FX we do not see yesterday's meeting as a game changer and forecast EUR/GBP to move lower."
Disclaimer: For information purposes only. Past performance is not indicative of future results.
Recommended Articles
The AUD/USD pair posts a fresh 10-month high near 0.6670 during the European trading session on Friday.
The Pound Sterling faces selling pressure against its major currency pairs on Friday after the release of the UK Gross Domestic Product and factory data for July.
Data shows the digital gold narrative may be in danger on the short term as Bitcoin has diverged from Gold in its 30-day Correlation.
The US Dollar stabilizes following Thursday's decline as market focus shifts to the University of Michigan's (UoM) preliminary Consumer Sentiment Index data for September.
Gold (XAU/USD) is seen building on the previous day's goodish rebound from the $3,613-3,612 area and gaining some follow-through positive traction during the Asian session on Friday.
Related Instrument
