The pound has risen as a result of a hawkish remark by a BoE policymaker. GBP/USD is aiming for 1.3900. The British Pound is surging higher after Bank of England policymaker Michael Saunders said in an inflation speech that if activity and inflation indicators stay in line with recent trends and downside risks to growth and inflation remain low, ‘it may be appropriate to withdraw some of the current monetary stimulus fairly soon…’ One possibility, according to Saunders, would be to cut the present QE program, which is slated to conclude at the end of this year, in the next month or two, ‘before the entire GBP150 has been purchased.’ Further monetary policy action next year, according to Saunders, may be an option. Michael Saunders’ Speech on the Inflation Outlook Sterling has risen substantially in response to Saunders’ hawkish tilt, pushing back against 1.3900 against the US dollar. EUR/GBP is also falling, approaching 0..8510 and the multi-month low of 0.8500 from yesterday. 5 Minute Price Chart for GBP/USD (July 15, 2021) Traders of all levels and abilities will find something useful in the new and updated platform to assist them make better judgments. Trading Education Center at DailyFX Is Sterling bullish or bearish in your opinion? You can contact the author on Twitter @nickcawley1 or by the form at the bottom of this article.
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