Posted 1/29/2024, 2:35:51 PM
Pound Slides Ahead of Central Bank Meetings; Traders Eye Future Rate Hikes
- Pound Sterling drops ahead of Bank of England and Federal Reserve policy decisions this week
- BoE expected to keep interest rates unchanged at 5.25% but offer hawkish guidance on future rate hikes
- Fed also forecast to hold rates steady; focus will be on timing of expected rate cuts in 2024
- UK inflation remains stubbornly high compared to other G7 countries, supporting case for more BoE rate hikes
- Technical outlook GBP/USD stuck below 1.2700, indicating sidelined trading ahead of major central bank announcements