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18 Mar 2015
UK might see a rate hike in Q1 16 - Ebury
FXStreet (Barcelona) - Enrique Diaz, Chief Risk Officer and lead currency specialist at Ebury, comments that the pound has fallen immediately against the euro and dollar and predicts the next rate hike will occur in Q1 of 2016.
Key Quotes
“The minutes hold a number of clues as to when the UK may see its next rate hike – which I now expect to happen in Q1 of 2016.”
“The MPC’s added focus on Sterling appreciation and its impact on inflation levels and expectations is a sign of their reticence to do anything in the immediate term. As a consequence, the Pound fell immediately 0.7% against the euro and slightly less against the dollar – a significant change to occur so quickly.”
“This is good news for British exporters who have been struggling with Sterling’s strength against the euro.”
Key Quotes
“The minutes hold a number of clues as to when the UK may see its next rate hike – which I now expect to happen in Q1 of 2016.”
“The MPC’s added focus on Sterling appreciation and its impact on inflation levels and expectations is a sign of their reticence to do anything in the immediate term. As a consequence, the Pound fell immediately 0.7% against the euro and slightly less against the dollar – a significant change to occur so quickly.”
“This is good news for British exporters who have been struggling with Sterling’s strength against the euro.”