Daily GBPUSD
Markets price in 5% Peak rate BOE. According to market pricing, traders anticipate the bank rate reaching a certain level. 5% By November This is due to the hawkish comments of MPC members Mann Comments from hawkish and other sources Powell yesterday¹. Yesterday1.
The FED And Powell Like his Jackson Hole comments and noting that tightening could be faster, he came out swinging. The markets were stunned and saw immediate bearish reactions in stocks and bonds, with Treasury yields rising and Wall Street falling. The Dollar Index on the other was stable. It is still not clear whether a decision on a rate increase of half a point to March 22 will be made. Powell stressed it depends crucially on the “totality” of the upcoming data in Friday’s nonfarm payrollsThe following: Release of CPI March 14
The shift up in implied Fed Funds futures has influenced the outlook. They jumped in response to Powell’s opening remarks, and now reflect about a 75%…
