Goldman Sachs analysts are forecasting GBP/USD greater within the subsequent six months.
Forecasting to 1.30 from it earlier forecast of a drop to 1.20:
- GBP will profit from the Financial institution of England being slower to chop charges in contrast with the Federal Reserve and European Central Financial institution
- Fed and ECB to begin slicing in H1
- “A quicker move to rate cuts elsewhere will make the Bank of England less of a dovish outlier … quite supportive for the pound”
- mkt pricing is round 110 bp or Fed easing, 135bp by the ECB and BoE round 85bp
Information through a Bloomberg report
This text was written by Eamonn Sheridan at www.forexlive.com.
