The market sentiment improved amid the slowdown in virus cases. Let's have a closer look at the AUD, S&P 500, gold and the GBP.
Super Thursday: results
The Bank of England announced its inflation report and interest rates vote. All nine members of the Monetary Policy Committee voted for holding the interest rates unchanged at 0.5%. Regarding inflation, the CPI fell by 0.1 percentage points from November to December 2017.
As it was anticipated, the BOE gave the positive prospects for the interest rate hike. The Bank said they are returning to targeting inflation at the two-year horizon, that is why they may raise the interest rate earlier than planned before. It caused the significant pound rally.
However, traders should be careful. Experts still see danger for the UK economy in the Brexit deal, that highly affects the economic growth of England and the inflation with interest rates as a result.
The overall market sentiment is mixed as new virus cases continue rising throughout the world, but most economic indicators came out better than analysts expected. Let’s look at the main market movements.
The market is really bullish today. Let’s have a closer look.
The US NFP will be published on August 7 at 15:30 MT time.
The market sentiment is indeed risk-on today. Stocks, riskier currencies and gold are rising amid the waning US dollar.
Follow the BOE monetary policy and rate statements on August 6 at 14:00 MT time…