The British pound traded around $1.38 in late October, remaining close to a recent one-month peak, as a slight decline in UK consumer price inflation was seen as temporary and is unlikely to deter the Bank of England from raising interest rates, possibly in less than a month. The consumer price inflation rate in September was little-changed from August's nine-year high and well above the Bank of England's target of about 2%. Governor Andrew Bailey said once again that policymakers would have to act, as a surge in energy prices would push inflation higher and make its climb last longer, raising the risk of higher inflation expectations. Elsewhere, concerns over the British economy mounted due to an unprecedent energy crisis and the shortage of workers in the wake of Brexit and the COVID pandemic.
Historically, the British Pound reached an all time high of 2.86 in December of 1957. British Pound - data, forecasts, historical chart - was last updated on October of 2021.
The British Pound is expected to trade at 1.37 by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate it to trade at 1.35 in 12 months time.