The Pound skyrocketed again. Overview for 14.09.2017

The GBP/USD pair rose on Thursday afternoon after the comments by the Bank of England following its September meeting.

The British Pound went up pretty well against the USD. The current quote for the instrument is 1.3334.

The September meeting of the Bank of England took place today. During the meeting, it was decided to leave the key rate unchanged at 0.25%. The QE program also remained the same, 435B.

However, it’s not what impressed investors. In the comments, they said that the rate might be increased in the months to come due to the current growth rate of the country’s economy. If the economy continues to improve the macroeconomic indicators the way it happens today, the monetary policy will have to be tightened. Also, they said that the regulator might partially decrease the QE program in order to make the inflation more stable.

Perhaps, this is exactly what was liked by investors. The BoE, which is famous for its conservatism, surpassed itself in the number of comments, instructions, and recommendations. Preventive actions or announcements are not typical for the British regulator, and it doesn’t usually say anything that can be perceived in different ways. But this time everything is quite simple: the BoE is ready to increase the key rate because there is no other way to control the inflation. The time of the QE program is coming to an end, the economy needs it less that earlier. And the Pound’s response shows who good it is.

RoboForex Analytical Department