The British pound hovered around $1.37 on Monday, moving away from a 1-month low of 1.361 hit last week following the Bank of England's hawkish tone on monetary policy. The central bank lifted its forecast for inflation and two of its policymakers called for an immediate halt to the £895 billion bond purchase programme, bringing forward expectations for an interest hike. Meanwhile, concerns over the British economy and the unemployment outlook capped the gains, as a furlough scheme introduced to mitigate the effects of the pandemic ends this month. Elsewhere, the US Federal Reserve is seen tapering its bond-buying scheme in November.
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 September of 2021.
The British Pound is expected to trade at 1.36 by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate it to trade at 1.34 in 12 months time.