Wednesday, September 22, 2010

GBP: pound speaker leaves much to be desired

Despite the continuing fall in the dollar yesterday and tonight, the dynamics of a pound during the last trading session of the poor. Pound to the dollar this morning was below 1.57, the growth over the past two weeks was only 2%, while the euro managed to grow by 4.7%. Clearly, a pound crush domestic economic concerns: the continuing signs of falling house prices, low consumer confidence and the impact of cuts in government spending on reconstruction. Also on the committee on monetary policy continues to discuss the possibility of further quantitative easing, today will be reviewed minutes of the meeting with the Bank of England, which took place earlier. After returning to Asia with the holidays next week will be interesting to see whether the resumes of Asian central bank demand for the pound, as they were the main buyers of the currency in recent weeks.
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