Sterling Thriving At 10-Week Maximum
The cable soared 0.15% to 1.3126. Throughout this week, the Pound gained 1.15%, touching its 10-week maximum on potential UK-EU Brexit deal. Today, the US will release consumer spending and UoM Consumer Sentiment data.
Yesterday’s BoE policy meeting was within expectations, with policy rate being held at 0.75%. Members stressed “greater uncertainty” in the financial markets over the Brexit. The Bank is expected to keep rates in place up until March, when the separation process is over, which would in turn subdue Sterling.
The US jobless rate posted an impressive 3.8%. Unemployment claims were almost unchanged at 204k. Inflation data for August, however, was disappointing. Consumer Price Index marked 0.1% while Core CPI made up 0.2%.