GBP / USD Analysis

GBP / USD Analysis

The Bank of England (BoE) did not change its policy, ignoring negative rates. While the authorities were satisfied with the high frequency positive figures, their growth estimates were significantly increased. Meanwhile, GBP / USD has seen its highest level 1.3183 since March. “All nine members of the Monetary Policy Committee voted in favor of not changing interest rates. Sub-zero borrowing costs concerns were measured above the pound. Andrew Bailey, Chairman of the Board, stated that such a move was "actively evaluated", but then hinted that it was not close. “The British economy is still shrinking in 2020. However, this drop was reduced to single digits (-14% vs. 9.5%). This is an important uplift. BoE also lowered its growth estimates for the next two years, and given the high uncertainty surrounding the virus, it became difficult to predict the future well in advance. " The Bank of England is accelerating with high frequency figures and higher frequency indicators show a recovery in spending. This thought reflects the words of Chief Economist Andy Haldane, who used the phrase "V so far" when talking about recovery. BoE seems to be wary of new outbreaks, but would prefer half the glass to be full. " “GBP / USD reached a daily high of 1.3183 before solidifying its gains. This summit has been recorded as the highest value since March. ''