Forex Broker: S&P’s Warning Dragged Pound Down

[amandalanlulei]

Forex Broker---- Monday (July 12th) New York Morning session, Pound/ USD forex rate fell sharply from 1.5075 dollar level to around 1.4994, and is now near 1.5010.
Standard& Poor’s confirmed on Monday (July 12th) that British long-term debt rating was of AAA level, but maintained a negative outlook.
After the announcement, Pound/USD instantly fell by more than 80 points. Current forex price trading is at 1.5000 dollar level.
Some forex analysts believe that although British government is confident to cut deficit according to the emergent budget bills, yet a large-scale reduction of expenditure will have affects on economic recovery process.
Ian Stannard, forex strategist of BNP Paribas in London states that even if other rating institutes behave actively after UK announced its emergent budget bills, UK does not seem to be entirely out of the scrape.
00:30 GMT, GBP/USD reported 1.5015/18.--Forex Broker: IKONFX

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By Amanda