2 May 2014
GBP/USD still bullish - BTMU
FXStreet (Barcelona) - Derek Halpenny, European Head of Currency Strategy at the Bank of Tokyo Mitsubishi UFJ, keeps the bullish stance on the GBP/USD.
Key Quotes
"The pound remains close to yesterday’s intra-day high of 1.6920, the highest level since August 2009 but there is little on the news front today leaving cable at the mercy of the outcome of the US employment report".
"We remain bullish but expect pound gains to be more against the euro than the dollar but one risk factor that may serve to subdue buying temporarily might be the anticipation of more aggressive action by the BOE on the macro-prudential side to dampen the surge in house prices".
"Following the comments by BOE’s Spencer Dale, reported in the FT yesterday, that the housing market is the greatest risk to financial market stability, yesterday Deputy Governor Sir Jon Cuncliffe, stated that it would be dangerous to ignore the build-up of momentum seen in the housing market of late."
Key Quotes
"The pound remains close to yesterday’s intra-day high of 1.6920, the highest level since August 2009 but there is little on the news front today leaving cable at the mercy of the outcome of the US employment report".
"We remain bullish but expect pound gains to be more against the euro than the dollar but one risk factor that may serve to subdue buying temporarily might be the anticipation of more aggressive action by the BOE on the macro-prudential side to dampen the surge in house prices".
"Following the comments by BOE’s Spencer Dale, reported in the FT yesterday, that the housing market is the greatest risk to financial market stability, yesterday Deputy Governor Sir Jon Cuncliffe, stated that it would be dangerous to ignore the build-up of momentum seen in the housing market of late."