GBP lurched lower in the immediate aftermath of the UK CPI data. Economists at Rabobank analyze Sterling’s outlook ahead of the Bank of England’s Inte
On the back of the much softer-than-expected print for UK August CPI inflation, the market is pricing in a significantly lower chance of a BoE rate hike. It remains our house view that a rate hike is likely, though certainly the odds that a pause will follow have risen.
Although we still expect USD strength to push Cable to 1.23 into year-end, a less bad growth outlook for the UK could allow GBP a slight advantage vs. the EUR in the months ahead.Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets.
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