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GBP/USD Fundamental Outlook at 1500 GMT (EST + 0500)

GBP/USD Fundamental Outlook at 1500 GMT (EST + 0500)
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22 July 2008 @ 01:40 pm EST
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The British pound weakened vis--vis the U.S. dollar today as cable tested bids around the US$ 1.9930 level and was capped around the $2.0075 level. Cable eroded during the North American session as traders bid the greenback higher on falling energy prices. Bank of England Governor King testified today but did not comment on monetary policy. Minutes from Bank of Englands July Monetary Policy Committee meeting will be released tomorrow. Most dealers believe MPCs Blanchflower was the only policymaker who voted for a rate cut. Cable bids are cited around the US$ 1.9870/ 1.9360 levels. The euro moved lower vis--vis the British pound as the single currency tested bids around the ₤0.7920 level and was capped around the ₤0.7960 level.

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