Another Big Week For The Pound

Posted by Nogger - a legend in his own mind at 10:00 | Categorized as

25/10/10 -- The pound is set for another big week, with tomorrow bringing the release of the latest set of GDP figures, this time for Q3.

The vibe is that these could show a significant decline from growth of 1.2 percent in Q2 to more like 0.4 percent, giving more ammunition to those on the Bank of England's MPC that want to see QE2 launched sooner rather than later.

MPC member Adam Posen voted to increase QE by GBP50 to GBP250 billion, according to the minutes of last month's meeting.

The pound is currently flirting either side of 1.12 against the euro, having plumbed as low as 1.1188 this morning, it's lowest since late March.