UK BOE Official Bank Rate Decision 02/04/10

7:00am (NY Time) UK Offcial Bank Rate Decision  Forecast 0.50%   Previous 0.50%
ACTION: GBP/USD      N/A

UK’s BOE, Bank of England’s Monetary Policy Committee (MPC) is scheduled to release their interest rate decision today and the consensus expectations are to keep current rates at 0.50% and APF (Asset Purchasing Facility) at 200 Billion Pound.  The important focus today will be the decision concerning the APF program as it is expected to expire later this month.  If MPC decides to take a “wait and see” stance on the APF, expect to see GBP soaring against other majors as this is a strong message reflecting the recovery of UK’s economy.

However, with that said, 2009 Q4 GDP release only showed a 0.1% recovery in the UK economy, with the current credit condition and the short-lived surge in recent inflation readings, there are certainly valid justifications for MPC to either continue or pause its quantitative easing policy.  Therefore, this will probably be the focus point of the release, and we’ll definitely look to BUY GBP should MPC decide to expire the APF as expected; or if they extend the program, then we may see a weaker GBP. 

As usual, if we are able to jumping to the market, I’ll record it live and post the updates back as soon as I can. 

Related posts:

1. BOE Official Bank Rate Decision 04/08/10
2. BOE Official Bank Rate Decision Strategy 06/10/10
3. Trade Plan For UK BOE Official Bank Rate Decision 07/08/10
4. UK BOE Official Bank Rate Decision 03/04/2010
5. UK MPC Official Bank Rate Decision (BOE Interest Rate) 12/10/09
6. BOE MPC Official Bank Rate Decision 01/07/10
7. UK BOE MPC Official Bank Rate Decision 11/05/09
8. Forex Analysis For UK BOE Interest Rate Decision 08/05/10
9. Forex Trade Plan For BOE Interest Rate Decision 09/09/10
10. Forex Trade Plan For Uk BOE Rate Decision 10/07/10

Tagged as: Afp, Asset Purchase Facility, Bank of England, BOE, Consensus Expectations, Economic Indicators, GDP, Gdp Release, Inflation, Interest rate, interest rate decision, monetary policy committee, MPC, MPC Rate Statement, Official Bank Rate, Prelim, Quantitative Easing, Sterling, Stimulus, uk gdp