Market Update

As we expected yesterday, we saw BoE hike rates by a further 25 basis point. After the decision we heard from governor Andrew Bailey, who touched on three points;

  • BoE no longer predict a recession for the UK. This is after its biggest improvement to its growth projections.
  • Inflation is expected to fall slower than they had hoped for. Recent rises in food prices is mentioned to be the main contribution to this. BoE also touches briefly on that there has been a stronger wage growth than what they had predicted that has helped to keep inflation above the 10%.
  • Andrew Bailey also don’t want to comment on a future forecast from BoE and like we have heard plenty of time in the last year, will be data driven for its upcoming meetings on what actions will be required.

This morning there has been GDP figures released for the UK. Headlines across news channels read 0.1% gain for UK GDP in its first quarter of 2023. If we compare to the last quarter of 2022, this is a drop of 0.1%. The market has responded to these figures, even though they were forecasted.

FTSE 100, GBP/EUR and GBP/USD are all trading upwards this Friday morning.

Leave a Reply

Your email address will not be published.

What's Going On?

Currencies 4 You Ltd is a company registered in England and Wales (registered no. 06866898). Registered office: Regus House Victory Way Admirals Park, Crossway, Dartford, Kent, DA2 6QD. Currencies 4 You Ltd Payment and Foreign Currency Exchange Services are provided by Currency Cloud Limited and Equals Connect Limited. For clients based in the United Kingdom payment services for Currencies 4 you are provided by The Currency Cloud Limited. Registered in England and Wales No. 06323311. Registered Office: Stewardship Building 1st Floor, 12 Steward Street London E1 6FQ. The Currency Cloud Limited is authorised by the Financial Conduct Authority under the Electronic Money Regulations 2011 for the issuing of electronic money (FRN: 900199). For clients based in the European Economic Area, payment services for Currencies 4 you are provided by CurrencyCloud B.V.. Registered in the Netherlands No. 72186178. Registered Office: Nieuwezijds Voorburgwal 296 - 298, Mindspace Nieuwezijds Office 001 Amsterdam. CurrencyCloud B.V. is authorised by the DNB under the Wet op het financieel toezicht to carry out the business of an electronic-money institution (Relation Number: R142701). Payment Services are provided by Equals Connect Limited, registered in England and Wales (registered no. 07131446). Registered Office: Vintners’ Place, 68 Upper Thames St, London, EC4V 3BJ. Equals Connect Limited are authorised by the Financial Conduct Authority to provide payment services (FRN: 671508). Payment services for Currencies 4 You Ltd are provided by Sciopay Ltd. Sciopay Ltd is a company incorporated in England & Wales. Registration No: 12352935. Sciopay Ltd is licensed and regulated by HMRC as a Money Service Business (MSB). Licence No: XCML00000151326. Sciopay Ltd is authorised by the Financial Conduct Authority as an Authorised Payment Institution. Firm Reference Number: 927951. | Terms and Conditions | Privacy Statement | Careers