GBPUSD is plummeting non-stop.
The Pound Sterling reached another low against the USD. The current quote for the instrument is 1.1343.
American dollar is putting more and more pressure on the currency market. Most investors are trying to escape risks considering the current escalation in geopolitics and the increasing possibility of a recession.
On Thursday, the Bank of England is planning to meet and decide on the benchmark interest rate. And there’s intrigue here.
Some experts believe that the British regulator seems to be “asleep at the wheel” – it sticks to the policy of just watching and not intervening. In the best-case scenario, the BoE should raise the rate by 75 basis points. A 100-point rate hike would be even better, but there are doubts that it might really happen.
To prevent the Pound from plummeting, the British regulator must reject its soft monetary policy and announce its rate target in the comments.