News | Forex Optimum

News

News

GBP/USD to rise to 1.45 as the UK is on course to recover rapidly – CE

FXStreet reports that strategists at Capital Economics discuss GBP/USD prospects.

“With the government now aiming to give all adults their first vaccine dose by the end of July, we think the lockdown easing roadmap will allow the economy to climb back to its February 2020 level late this year and to the same level as in Q4 2019 in Q1 2022.”

“The Chancellor and the BoE are unlikely to knock the recovery off course by tightening policy. Fiscal policy in 2021/22 is more likely to be looser than currently planned, not tighter. The BoE has been stressing since August that it won’t raise interest rates at the first signs of a sustained rise in economic activity or inflation. Our forecast that it won’t be raised until 2026 implies that, after having risen from 0.30% in late January to 0.68%, there is not that much more upside for 10-year gilt yields. A fast economic recovery and loose policy underpins our forecasts that the pound and FTSE 100 will rise from $1.40 and 6,600 now to $1.45 and 7,500 this year.”

You may also be interested:

23:29 26.02.2021
Key events for next week: Eurozone, Britain, China and US PMI indices, RBA interest rate decision, Canada, Australia and Japan GDP, Eurozone and US unemployment rate, Canada and US trade balance
On Monday, at 00:00 GMT, Australia will release MI inflation gauge for February and ANZ's vacancy index for February, as well as announce changes in the company's operating profit for the 4th quarter. At 00:30 GMT, Japan will present the manufacturing PMI for February. At 01:45 GMT, China will release the Caixin Manufacturing PMI for February. At 07:30 GMT, Switzerland will announce the retail trade change for January. Then the focus will be on the manufacturing sector PMI for February:
19:02 26.02.2021
ECB's Governing Council member Stournaras says there is currently an unwarranted tightening of bond yields
There's no fundamental justification for a tightening of nominal bond yields at the long endGoverning Council should instruct board at March 11 meeting to fight unwarranted tightening of financial conditionsECB should accelerate PEPP purchases
18:40 26.02.2021
U.S.: Personal income surges and spending rebounds - TD Bank Financial Group
According to ActionForex, analysts at TD Bank Financial Group note personal income surged by 10% in January, while personal spending rose by 2.4%, and sugget another round of income support measures proposed in the American Rescue Plan combined with sizeable household savings should spur spending on activities put on hold during the pandemic."Personal income surged by 10% month-on-month in January, on par with market expectations. The strength was largely due to the increase in social benefits (
Deposit
options
Trading
platform
download
Bonuses VIP