The pound sterling became the main currency in New York session trading yesterday following the long -awaited England central bank policy meeting by investors.
The Bank of England (BOE) has kept interest rates unchanged at 0.10% for the March edition meeting and also maintained its asset purchase facility at £ 895 billion as expected by the market.
According to the central bank, weak UK Gross Domestic Product (GDP) growth in January was driven by slower growth of the public sector.
If the situation worsens, the central bank is prepared to increase policy easing to ensure the effectiveness of policy changes on economic stability.
For the coming period, investors will continue to await indications from the BOE for indications of any future policy changes.
If inflation projections worsen, committee members are prepared to act as appropriate to achieve the central bank’s targets.
Policy is not expected to be tightened until there are clearer indications towards the 2%inflation target.
The UK economic outlook remains uncertain making investors more wary of Pound Sterling trading.
The pound remained weak for several weeks below the $ 1.4000 level against the US dollar as shown on the price movement on the GBP/USD chart.
