OctaFX | OctaFX Forex Broker
Open trading account

Forex Flash: BoE on Hold, But Likely Another Split Vote – TD Securities

FXstreet.com (Barcelona) - According to Jacquie Douglas, Senior Global Strategist at TD Securities, “The Bank of England left its policy rate and asset purchase target on hold today, as had been nearly unanimously expected, and as we had forecast in our most recent UK Quarterly. But with no statement, we won’t get any further information until next week’s Inflation Report (which will be Governor King’s last) and the minutes from today’s meeting in two weeks.”

She went on to add, “ The IR will likely reveal only modest changes to the BoE’s growth and inflation forecasts, after the prior two editions already included pretty substantial changes to the BoE’s outlook. The minutes will likely reveal another split vote, as the last three months have seen three of nine MPC members vote for further QE. We could even see a fourth vote in favour of QE, resulting in a razor-thin 5-4 decision, as recent comments from Weale suggested that the easing of inflationary pressures could get him to reconsider his vote and elect for further stimulus instead. But for now we have no new information.”

Forex Flash: We expect the ECB to pursue further monetary easing measures - Soc Gen

The EUR/USD finished the session down 116 pips at 1.3044. The pair has been stuck in a trading range for quite some time now, but some analysts see numerous reasons to view further declines.
Read more Previous

Forex: Will a busy economic release schedule next week be the catalyst for EUR/USD?

The EUR/USD finished the day down 116 pips at 1.3044. Economic data was quiet for the most part but weekly jobless claims out of the US came in better than expected at 323k vs. 3.35k forecast. The US Dollar was well bid across the board, with the majority of action taking place in the USD/JPY which crossed the 100 threshold for the first time in four years. This seemed to help provide additional USD strenght against other pairs, and also helped limit advances in commodities which were primarily lower for the day. Economic releases out of the Eurozone in the coming session include German Trade Balance, Italian Industrial Production, and EU Consumer Price Index.
Read more Next
Start livechat