News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
More View more
Real Time News
  • Will be covering the Japanese #Yen to see how retail positioning could shape the outlook for $USDJPY, $AUDJPY and $EURJPY Starting in about 30 minutes! Signup for the session below: https://t.co/afqne77wU6
  • Join @ddubrovskyFX at 20:00 EST/00:00 GMT for a webinar on what other traders' buy/sell bets say about price trends. Register here: https://t.co/AzOQioRZER https://t.co/h2DAnqnY7J
  • #BlackRock: We are neutral U.S. equities. We see U.S. growth momentum peaking and expect other regions to be attractive ways to play the next leg of the restart as it broadens to other regions, notably Europe and Japan $SPX $NDX
  • #BlackRock: The new nominal theme leads to a steeper yield curve expectation than market pricing. We see yields rising gradually, keeping us broadly underweight government bonds, particularly for longer maturities #trading $TLT
  • BlackRock: We are overweight European equities, and neutral Japan #trading
  • Gold prices face off with rising Treasury yields as jobs data approaches. Meanwhile, iron ore prices caught a small bid on bullish port activity out of China. Get your market update from @FxWestwater here:https://t.co/A79cY6KvDI https://t.co/rJ0xqsUPu1
  • Key levels in forex tend to draw attention to traders in the market. These are psychological prices which tie into the human psyche and way of thinking. Learn about psychological levels here: https://t.co/8A1QhwvklO https://t.co/cRqAcvYkI8
  • #Blackrock: We are moderately pro-risk and keep some cash to potentially further add to risk assets on any market turbulence #trading $SPX $RUT $DJIA
  • RT @BrendanFaganFx: Natural Gas Outlook: Price Continues to Soar as Severe Winter Shortage Looms $NG $NG_F Link: https://www.dailyfx.com/forex/market_alert/2021/09/28/Natural-Gas-Outlook-Price-Continues-to-Soar-as-Severe-Winter-Shortage-Looms.html…
  • USD/CAD is set to snap a five-day sell-off with today’s rally breaking near-term downtrend resistance. Get your $USDCAD market update from @MBForex here:https://t.co/GhpA2pJJqL https://t.co/sDuE9WdDEg
GBP/USD Rallies to Fresh Highs as BoE Votes 9-0 against More QE

GBP/USD Rallies to Fresh Highs as BoE Votes 9-0 against More QE

Christopher Vecchio, CFA, Senior Strategist

Talking Points:

- MPC votes 9-0 against more QE.

- MPC votes 9-0 on keeping main rate on hold at 0.50%.

- Improving UK economy has policymakers in “wait-and-see” mode.

= GBPUSD BULLISH

The British Pound has rallied to take top spot among the majors this morning after the Bank of England’s September meeting Minutes showed a shift in policymakers’ outlook on the UK economy. Of note, policymakers said that incoming August data presented an upside risk to the central bank’s economic growth forecasts (a sign that they feel the UK economy is improving faster than anticipated).

Overall, it appears that the BoE is ‘buying into’ the idea that the UK economy is in the early stages of a sustainable recovery; and therefore, no additional easing is required in the near-term to check down rising interest rates. Indeed, the BoE voted 9-0 against additional bond purchases (more QE); and simultaneously cast a more or less symbolic 9-0 vote against changing the main interest rate.

Read more: Bank of England Minutes to Provide Pre-FOMC Volatility

GBPUSD 1-minute Chart: September 18, 2013

GBPUSD_Rallies_to_Fresh_Highs_as_BoE_Votes_9-0_against_More_QE_body_x0000_i1027.png, GBP/USD Rallies to Fresh Highs as BoE Votes 9-0 against More QE

Charts Created using Marketscopeprepared by Christopher Vecchio

Following the release, the GBPUSD rallied from $1.5929 to as high as 1.5958, a fresh session high and just short of the monthly high set last week at 1.5965. The pair had eased slightly to 1.5950, but as noted in the DailyFX Real Time News feed, there is evidence that the British Pound may be working on a more considerable move against the Swiss Franc and the US Dollar (bullish GBPCHF and GBPUSD).

--- Written by Christopher Vecchio, Currency Analyst

To contact Christopher Vecchio, e-mail cvecchio@dailyfx.com

Follow him on Twitter at @CVecchioFX

To be added to Christopher’s e-mail distribution list, please fill out this form

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES