Forex

Investing.com - The yen is struggling to hold onto any gains against the U.S. dollar, even after last week’s official intervention, but UBS still sees the potential for a medium term decline in the USD/JPY pair.

At 10:30 ET (14:30 GMT), USD/JPY traded 0.1% higher at ¥155.64, just below the ¥160 level seen last week - the yen’s weakest level against the dollar in 34 years.

This weakness comes despite Japanese authorities spending what’s believed to be some $60... (continue reading...)

Investing.com -- The Bank of England has left its key rate of interest unchanged at 5.25%, as officials mull over whether signs of easing inflation in the U.K. give them room to vote in favor of ratcheting down borrowing costs.

Prior to the meeting of the central bank's Monetary Policy Committee, some policymakers, including BoE Governor Andrew Bailey, suggested that they could be gearing up to advocate for a downward move.

Undergirding this rhetoric was inflation in... (continue reading...)

Monetary Policy Summary, May 2024

The Bank of England’s Monetary Policy Committee (MPC) sets monetary policy to meet the 2% inflation target, and in a way that helps to sustain growth and employment. At its meeting ending on 8 May 2024, the MPC voted by a majority of 7–2 to maintain Bank Rate at 5.25%. Two members preferred to reduce Bank Rate by 0.25 percentage points, to 5%.

The Committee’s updated projections for activity and inflation are set out in the... (continue reading...)

By William Schomberg, David Milliken and Suban Abdulla

LONDON (Reuters) -The Bank of England paved the way on Thursday for the start of interest rate cuts as soon as next month and Governor Andrew Bailey said there could be more reductions than investors expect.

The BoE's Monetary Policy Committee kept rates at a 16-year high of 5.25% but Deputy Governor Dave Ramsden joined external MPC member Swati Dhingra in backing a cut to 5%, the central... (continue reading...)

Investing.com - The U.S. dollar edged higher Thursday, trading in a tight range ahead of next week’s all-important U.S. inflation data, while the pound slipped ahead of the Bank of England’s policy-setting meeting.

At 04:35 ET (08:35 GMT), the Dollar Index, which tracks the greenback against a basket of six other currencies, traded 0.2% higher at 105.605, rebounding after last week’s one-month low.

The dollar has steadied this... (continue reading...)