Sterling is higher against its major counterparts again today, getting a boost from the fact that it seems as though the UK economy is on the road to recovery. There is optimism about what will be said by policymakers about their forward guidance, and there are expectations that things will continue to improve.
Economic news out of the United Kingdom has been reasonably positive lately. It has beat expectations, and is providing optimism that the British economy is finally recovering. Indeed, George Osborne recently indicated that the UK economic recovery is gathering speed, and that he is hopeful due to the results.
With other major economies, like the United States, failing to live up to economic expectations, and with some eurozone countries still threatening to drag on the 17-nation currency region, the United Kingdom appears a fairly safe bet.
Speculation that the Bank of England will soon raise interest rates is going around, and many are waiting to hear BOE Governor Mark Carney‘s remarks about what policymakers are looking for as indications that the economy is doing well enough that interest rates can be raised and stimulus efforts can be reduced.
At 13:21 GMT GBP/USD is up to 1.5699 from the open at 1.5696. EUR/GBP is down to 0.8443 from the open at 0.8445. GBP/JPY is up to 157.5380 from the open at 156.3055.
If you have any questions, comments or opinions regarding the Great Britain Pound,
feel free to post them using the commentary form below.
Be First to Comment