Back
19 Mar 2015
Cable hit by rate cut talks
FXStreet (Mumbai) - The British Pound is being sold aggressively after the Bank of England (BOE) economist Haldane hinted at the possibility of an interest rate cut. The GBP/USD pair hit a fresh session low of 1.4746 levels.
BOE could cut rates to tackle deflation
The GBP/USD pair dropped sharply from 1.4850 to hit a low of 1.4746 after BOE’s Haldane said that the bank may be forced to cut interest rates to zero in the coming months to tackle the looming risk of deflation.
Haldane’s rate cut talks pushed the GBP/USD pair well below its hourly 100-MA located at 1.4792 levels. At the moment, the pair is trading at 1.4762; down 1.47% for the day.
GBP/USD Technical Levels
The immediate support is seen at 1.47, under which losses could be extended to the previous session’s low of 1.4633. On the flip side, a rise above the hourly 100-MA located at 1.4792, could open doors for a re-test of 1.4850 levels.
BOE could cut rates to tackle deflation
The GBP/USD pair dropped sharply from 1.4850 to hit a low of 1.4746 after BOE’s Haldane said that the bank may be forced to cut interest rates to zero in the coming months to tackle the looming risk of deflation.
Haldane’s rate cut talks pushed the GBP/USD pair well below its hourly 100-MA located at 1.4792 levels. At the moment, the pair is trading at 1.4762; down 1.47% for the day.
GBP/USD Technical Levels
The immediate support is seen at 1.47, under which losses could be extended to the previous session’s low of 1.4633. On the flip side, a rise above the hourly 100-MA located at 1.4792, could open doors for a re-test of 1.4850 levels.