(MENAFN– ecpulse) Sterling was little changed in Europe, still trading near 2-week low ahead of the release of Bank of England (BOE) minutes of the August meeting later in the session.
The BoE s set to release minutes of the rate policy meeting held August, when the central bank’s Monetary Policy Committee, headed by Governor Mark Carney maintained its record low 0.50 percent interest rate and £375 billion quantitative easing at the meeting.
In the previous session, data from the Office for National Statistics showed that the inflation eased to 1.6 percent in July from 1.9 percent in June. Inflation was forecast to slow to 1.8 percent.
CPI is important because it is the measure targeted by the BoE`s interest rate-setters. Policymakers have been forced to tolerate the above-target inflation as they keep interest rates low to try to shore the recovery back to health.
The most recent data has suggested the economy is moving on the right track and the BoE may be the first central banks among developed nations to raise interest rate. BoE Governor Carney said over the weekend that interest rates could rise before wage growth picks up.
UK economy expanded at a slightly faster annual rate in the second quarter than initially thought, boosted by a better performance from the construction sector.
Economy grew 0.8 percent in the three months to the end of June and has been revised upwards to 3.2 percent - its fastest pace since the end of 2007.
The GBPUSD is currently trading around $1.66027 after opening at $1.66153. The pair so far intraday low at $1.66010.
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.