What GBP will do in 2011?

[forexnewsguy]

Morgan Stanley increased the quotation expectation of the GBP/USD and GBP/EUR in 2010 and 2011, which cause is the Britain launched the latest budget plan and the prospect the inflation in Britain may accelerate its speed this week.

Morgan Stanley indicated that GBP/USD quotes 1.42 at the end of year 2010, 1.52 at the end of 2011, and the previous expectation was 1.29 and 1.41 respectively.

The meeting summary of the Monetary Policy Committee of the central bank released this month indicated that the MPC maintained the benchmark interest rate at 0.05 percent unchanged with vote of 7 versus 1.

Nomura Holdings Inc. said that the investors should bet that the GBP will go up in 2011 and GBP/USD will stay on 1.6300 in the first quarter and increases to 1.7300 at the end of year 2011.

Barclays Capital pointed out in its quarter prospect report on Thursday, 9th December that GBP may fulfill strong going p in 2011, especially GBP/USD and GBP/JPY.

Edited By Sarah