16 Feb 2015
BoE in tandem with the Fed – Rabobank
FXStreet (Edinburgh) - Jane Foley, Senior FX Strategist at Rabobank, expects the sterling to be well supported in the medium term.
Key Quotes
“Over the past four or so months all developed world central banks with the exception of the Federal Reserve and the Bank of England have either cut rates, used QE, intervened or, in the case of the RBNZ, jawboned in favour of a weaker currency”.
“In this environment perhaps it is not surprising that the USD and the GBP along with the CHF have been the best performing G10 currencies on a 12 mth view”.
“By contrast to the extraordinary measures that some central banks are taking to stimulate growth and inflation, the simple message from BoE Governor Carney this week that the next policy move from the BoE is likely to be a rate hike sounded hawkish”.
“Despite the forthcoming UK general election, we expect sterling to remain well supported in the coming months”.
Key Quotes
“Over the past four or so months all developed world central banks with the exception of the Federal Reserve and the Bank of England have either cut rates, used QE, intervened or, in the case of the RBNZ, jawboned in favour of a weaker currency”.
“In this environment perhaps it is not surprising that the USD and the GBP along with the CHF have been the best performing G10 currencies on a 12 mth view”.
“By contrast to the extraordinary measures that some central banks are taking to stimulate growth and inflation, the simple message from BoE Governor Carney this week that the next policy move from the BoE is likely to be a rate hike sounded hawkish”.
“Despite the forthcoming UK general election, we expect sterling to remain well supported in the coming months”.