Forex Rate"GBP/USD Dropped Sharply on UK Inflationary Report"

[forexnewsguy]

The forex rate of Great Britain pound against US dollar went down at European time yesterday as it was said that Bank of England would raise interest rate later than expectation. The forex rate of GBP/USD reached to the lowest level of 1.6000 in that day.

According to the report, Bank of England might keep interest rate above 2% next year. Bank of England might raise interest rate later than expectation as the rising prices of commodities and government made plan to cut budget deficit.

The president from Bank of England pointed out that they had never promise to raise interest rate , though many forex investors expected BoE to raise interest in time. He also said that monetary policy didn’t depend on the inflation.

It was predicted that Bank of England would begin to raise interest rate at the second quarter of this year. Moreover, BoE would raise interest rate for three times before the end of this year.





Edited by kayla