Pound Appreciates As BoE's Bailey Cautions Against Imminent Rate Cuts
21 Novembre 2023 - 8:43AM
RTTF2
The pound climbed against its most major counterparts in the
European session on Tuesday, as investors reacted to comments from
Bank of England Governor Andrew Bailey that it was too early to
consider reducing interest rates.
Bailey told the National Farmers Union overnight that
restrictive monetary policy stance would be necessary for "quite
some time yet".
The BoE chief emphasized that it was too early to consider rate
cuts, as some components of inflation remained far too high and as
wage growth continues to rise.
Bailey added that the central bank was "on watch for further
signs of inflationary persistence that may require interest rates
to rise again".
Investors looked ahead to the release of minutes from Federal
Reserve's latest meeting later in the day for additional clues on
the rate outlook.
The pound advanced to 1.1088 against the franc and 0.8724
against the euro, setting 6-day highs. The pound may find
resistance around 1.12 against the franc and 0.85 against the
euro.
The pound was higher against the greenback, at a 2-1/2-month
high of 1.2553. On the upside, 1.28 is likely seen as its next
resistance level.
In contrast, the pound fell to near a 3-week low of 184.45
against the yen. If the currency falls further, 176.00 is likely
seen as its next support level.
Looking ahead, Canada CPI and new housing price index and U.S.
existing home sales, all for October, will be featured in the New
York session.
The Fed minutes from the October 31-November 1 meeting will be
released at 2 pm ET.
Euro vs Sterling (FX:EURGBP)
Graphique Historique de la Devise
De Juin 2024 à Juil 2024
Euro vs Sterling (FX:EURGBP)
Graphique Historique de la Devise
De Juil 2023 à Juil 2024