The Bank of England has downgraded its forecast for the prospects of the national economy. The inflation rate won’t probably reach the target range in time.
The current situation around the rate of inflation limits the BOE’s arsenal of economic stimuli. The current economic conditions look unfavorable for further quantitative easing. Even some MPC members start questioning the efficiency of QE.
Forex.
The chart below, courtesy of , reflects the current state of affairs in the market of GBPUSD. The currency pair is in downtrend.
The closest levels of resistance are 1.5819/1.5761. The current bearish move will be completed as soon as the price overcomes the top of the MF sloping channel and consolidates above 1.5826 (as shown below).
