Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

Pound Gains After Bank of England Holds Rates Steady

Published 01/30/2020, 07:12 AM
Updated 01/30/2020, 07:35 AM
Pound Gains After Bank of England Holds Rates Steady

Pound Gains After Bank of England Holds Rates Steady

(Bloomberg) -- Want the lowdown on European markets? In your inbox before the open, every day. Sign up here.

The pound rose after the Bank of England refrained from cutting interest rates.

Sterling climbed as much as 0.5% after policy makers kept the rate at 0.75%. Policy makers voted 7-2 to keep the benchmark at 0.75%, an unchanged split that belied investor expectations the decision was on a knife-edge.

Money markets are now pricing a 100% chance of a cut in late 2020. Gilts erased their advance, with the yield on 10-year bonds little changed at 0.51%.

Read More: BOE Holds Rates in Carney’s Swansong as Britain Exits EU

Money markets pricing for the decision whipsawed in the run up to the Mark Carney’s final policy announcement as governor, rising above 70% this month. It was too close to call earlier Thursday.

Analysts see the pound reaching $1.35 by the end of the year, according to Bloomberg’s currency survey. It traded 0.3% higher to $1.3065 as of 12:11 p.m. in London.

Latest comments

the sterling wasn't suppose to gain
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.