Great Britain pound reached its two month minimum value against U.S. dollar today under the pressure of an interest rate cut during tomorrow Bank of England rates decision. GBP/USD touched 2.0353 level — the lowest since October 23.
Chartered Institute of Purchasing and Supply released its PMI data today showing a decrease to 51.9 in November from 53.1 in October, while analysts expected almost the same number in November — 53.0.
Housing data also showed some pessimism in the U.K. economy — average cost of a single family house in United Kingdowm decreased by 1.1% to £194,895 pounds ($400,000) in November.
On November 8, Bank of England decided to maintain bank rate at 5.75% — two of the nine deputies voted for rate cut. Tomorrow meeting will most probably decrease the interest rate by 0.25% to 5.50%. So, the new GBP rally can be expected on GBP/USD and GBP/JPY. But in case BoE will decide to leave the rate as it is, pound can jump back up easily.
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