Market news
20.06.2023, 11:01

Sterling to benefit if UK inflation data once again surprises on the upside – Commerzbank

On Thursday, the Bank of England (BoE) will decide on its key rate. Economists at Commerzbank analyze how inflation data due out tomorrow could impact the BoE decision and, therefore, the Pound.

Short-term rate speculation might support Sterling

As the inflation data due for publication tomorrow will illustrate, getting inflation under control will be the more pressing problem right now. If the data once again surprises on the upside speculation about a 50 bps rate hike might intensify, which would probably benefit Sterling.

However, we principally remain cautious as the rate expectations for the rest of the year seem excessive and we see the risk of the market having to correct its expectations. Short-term rate speculation might support Sterling, but medium-term we expect Sterling to be weaker.

 

© 2000-2024. All rights reserved.

This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).

The information on this website is for informational purposes only and does not constitute any investment advice.

The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.

AML Website Summary

Risk Disclosure

Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.

Privacy Policy

Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.

Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.

Bank
transfers
Feedback
Live Chat E-mail
Up
Choose your language / location