GBP/USD Rate Eyes 2018-Low Ahead of Bank of England (BoE) Meeting

British Pound Talking Points

GBP/USD quickly approaches the 2018-low (1.2662) ahead of the Bank of England (BoE) meeting, with the central bank widely expected to keep the benchmark interest rate at 0.75% on ‘Super Thursday,’ and recent price action keeps the downside targets on the radar as the bearish momentum appears to be gathering pace.

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GBP/USD Rate Eyes 2018-Low Ahead of Bank of England (BoE) Meeting

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Fresh update to the BoE’s quarter inflation report may do little to shore up the local currency as the Monetary Policy Committee (MPC) ‘continues to recognise that the economic outlook could be influenced significantly by the response of households, businesses and financial markets to developments related to the process of EU withdrawal’, and Governor Mark Carney Co. may stick to the current approach of implementing two rate-hikes per year as ‘any future increases in Bank Rate are likely to be at a gradual pace and to a limited extent.

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In turn, the MPC may merely attempt to buy more time even as Chancellor

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