FXstreet.com (Córdoba) - GBP/USD weakened after the opening bell at Wall Street and fell to 1.6300. The pair is pulling down from intra-day high at 1.6395. Currently it trades at 1.6337/40, 0.23% above today's opening price. Below 1.6300, the next support lies at 1.6250 (intra-day low). The Sterling is rising sharply against the Euro. EUR/GBP fell to 0.9115 (intra-day low) extending it decline from a one-week high at 0.9240.
The FastBrokers Research Team affirms: Investors should keep in mind that the Cable's incredible run from 10/13-10/23 was provoked by a more neutral monetary stance emanating from the BoE. Therefore, one can only speculate how the BoE will approach its monetary policy over the near-term. As we explained in our previous post, there's a chance the BoE changed its tone in advance to Prelim GDP data to help put the Pound in a more favorable position once the news hit the wire. Regardless, the BoE will likely continue its psychological tango with investors to move the Cable in a direction it deems appropriate for Britain's economy.