- The Pound is mainly focused on Brexit as the Internal Markets Bill will be debated in Parliament across the week.
- The Bank of England monetary policy announcement could move the Pound, although no changes to policy are expected
- After mixed employment data on Tuesday, inflation data will be under the spotlight on Wednesday.
GBP/USD To Hold Steady with News In Focus
After recent losses in the Pound, GBP/USD and EUR/GBP are holding steady and could remain stable across the week, which sees Brexit, Thursday’s Bank of England monetary policy announcement and plenty of UK economic data.
UK INFLATION DATA
Tuesday’s employment figures were mixed. The unemployment rate moved up, however there was a lower than forecast decline in the number of people employed in Britain.
Attention will now turn to inflation data. Analysts expect to see drop to 0% in August after jumping 1% in July on an annual basis.
GBP/USD will likely be directed by the US Dollar, which is under pressure amid an upbeat market mood after data showed that the Chinese economic recovery continues.