Pound Supported ahead of BoE
The Pound Sterling recovered and edged away from a 10-week trough ahead of tomorrow's monetary policy meeting at the Bank of England. The latest consensus shows that the BoE's Monetary Policy Committee is likely to leave rates unchanged at the current levels. It is anticipated that the outlook will include the MPC's criteria for tightening policy. What has puzzled some analysts is the BoE's position relative to the threat of a hard Brexit. Many are surprised that the central bank appears ready to “normalize” conditions despite the real possibility that the UK government won't find a way forward with the European Union.
As reported at 11:30 am (BST) in London, the GBP/USD was trading at $1.2741, up 0.33%; the pair earlier hit a peak of $1.2753 while the low is at $1.2701. The EUR/GBP is lower at 0.8897 Pence, down 0.23%; the pair has ranged from 0.88964 Pence to 0.89323 Pence in today's session.
May Looks to UK Business for Help
Later today, the Prime Minister will be meeting with over one hundred international investors and chief executives to discuss the UK economy and the Brexit negotiations. Theresa May has been seeking out support from the business community in an effort to help sway members of her own party who remain critical of her proposals for a compromise with EU officials.