The legend in the InstaSpot team!
Legend! You think that's bombastic rhetoric? But how should we call a man, who became the first Asian to win the junior world chess championship at 18 and who became the first Indian Grandmaster at 19? That was the start of a hard path to the World Champion title for Viswanathan Anand, the man who became a part of history of chess forever. Now one more legend in the InstaSpot team!
Borussia is one of the most titled football clubs in Germany, which has repeatedly proved to fans: the spirit of competition and leadership will certainly lead to success. Trade in the same way that sports professionals play the game: confidently and actively. Keep a "pass" from Borussia FC and be in the lead with InstaSpot!
The Bank of England unexpectedly left interest rate unchanged, the first time in almost two years. Earlier forecasts assumed a 0.25% hike, which will push rates from 5.25% to 5.50%. However, this did not happen.
While the August CPI data in the UK indicated a noticeable decrease from 8.7% to 6.7%, which many saw as a positive development, it remains far above the Bank of England's target level of 2%. Therefore, rate hikes will not yet stop, but just be paused instead.
The Bank of England also acted similarly to the Federal Reserve, hoping that the decline in inflation would continue in the context of a slowing national economy and reduced demand for goods and services. After all, even though it acts in its own interests, the Bank of England follows the actions of the Federal Reserve, which sets the tone in global markets.
An example of this points to when all significant central banks worldwide took pauses in raising interest rates in September, except for the European Central Bank, which unexpectedly raised its rate to 4.50% from 4.25%. However, looking closely at the actions of central banks in Western countries, as well as Australia and New Zealand, the absolute values of their key interest rates remain close to the level of the Federal Reserve's rate, thereby balancing their interest rate levels. This maintains a relationship that allows local producers to compete in global markets with their goods and services.
So, will the Bank of England raise rates further? It will, but only if the Fed does so or if inflation in the UK starts to rise again. For now, after the pause, there may be a sideways movement in GBP/USD, following a small correction, However, if market sentiment deteriorates again, the pair may resume its decline amid a general demand for dollar as a safe-haven currency.
Forecasts for today:
GBP/USD
The pair found support at the level of 1.2260. Improved investor sentiment following yesterday's sell-off could lead to an increase in risk appetite and, as a result, a weakening of dollar. On this wave, the pair may correct upwards towards 1.2375.
EUR/USD
The pair currently attempts to show a local upward reversal, where its rise above the level of 1.0670 will lead to a rebound towards 1.0740.
*这里的市场分析是为了增加您对市场的了解,而不是给出交易的指示。
InstaSpot分析评论将让您充分了解市场趋势! 作为InstaSpot的客户,您将获得大量的免费服务以实现有效的交易。