The Bank of England made no surprise, keeping its monetary policy on hold. Yet the Great Britain pound was still able to trim its losses versus the Japanese yen as well as to keep rallying against the US dollar.
The BoE announced today:
The Bank of Englandâs Monetary Policy Committee at its meeting on 8 October voted to maintain Bank Rate at 0.5%. The Committee also voted to maintain the stock of purchased assets financed by the issuance of central bank reserves at £375 billion.
As the UK central bank, unlike central banks of other countries, does not release a detailed statement after its decision, the meeting had a limited impact on the currency’s performance. Still, the sterling was supported by speculations that pressure on BoE mounts to start raising interest rates, especially as two board members have already voted for monetary tightening at the previous meeting.
GBP/USD rose from 1.6166 to 1.6216 as of 11:33 GMT today. GBP/JPY traded at 174.59, trimming its drop from 174.74 to 174.03.
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