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8 May 2013
Forex: GBP/USD flat around 1.5485/90
FXstreet.com (Barcelona) - Increasing risk appetite is now pushing the sterling from session lows against the greenback on Wednesday in the area of 1.5485/90, in another attempt to regain the key 1.5500 figure and recover part of yesterday’s losses.
“The weakness is likely to be short-lived as the central bank is widely expected to maintain its current policy in May…. However, as we anticipate another 6-3 split within the MPC, the committee may refrain from releasing a policy statement, but the BoE may look to switch gears later this year as the region is expected to face above-target inflation over the policy horizon”, assessed David Song, Currency Analyst at DailyFX.
At the moment GBP/USD is flat at 1.5485 and a break above 1.5599 (high May 6) would expose 1.5603 (high May 3) and then 1.5607 (high May 1).
“The weakness is likely to be short-lived as the central bank is widely expected to maintain its current policy in May…. However, as we anticipate another 6-3 split within the MPC, the committee may refrain from releasing a policy statement, but the BoE may look to switch gears later this year as the region is expected to face above-target inflation over the policy horizon”, assessed David Song, Currency Analyst at DailyFX.
At the moment GBP/USD is flat at 1.5485 and a break above 1.5599 (high May 6) would expose 1.5603 (high May 3) and then 1.5607 (high May 1).