Free Trial

Sterling outperformed Thursday, in the wake...>

CABLE
CABLE: Sterling outperformed Thursday, in the wake of the BoE's MonPol decision
& inflation report. The Bank voted unanimously to stand pat on its MonPol
settings, as expected, revising its near-term GDP and inflation forecasts lower
(although kept longer-term forecasts near-unchanged), before warning that rates
could rise even if the UK goes through a disruptive no deal Brexit, ultimately
lending some support to GBP after the initial hit on the economic forecast
revisions. 
- Elsewhere, lack of optimism on the Brexit front weighed on GBP during the rest
of Thursday. UK PM May went to Brussels and some reports suggested that she
asked EU officials to implement a time limit on the Irish backstop, with the EU
consistently opposing a renegotiation of the current deal. Juncker and May will
meet again later this month. 
- GBP/USD last trades virtually unch. at $1.2950 after adding 20 pips Thursday. 
- Bulls focus on the 21-DMA at $1.2992, ahead of Thursday's high & the
psychological $1.3000 level. Meanwhile, bears eye the lower 1.0% 10-DMA envelope
at $1.2905, followed by the 100-DMA at $1.2890.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.