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Is it time to buy sterling?
The Bank of England has held rates at a record low of 0.5 percent and maintained its monetary stimulus at GBP 375 billion.
But ECU group’s Neil Staines is confident the UK will lead the global economy in terms of interest rate moves leading to sterling appreciation.
Governor Mark Carney says unemployment must fall below 7 percent before rates cant rise – and that is forecast to take 3 years. But Recent data has shown healthier prospects for the UK economy, leading to speculation rates will go up before then.
Neil thinks we will see a lot of Sterling appreciation, but says although he favors cable he also sees strength in the dollar so thinks the most efficient trade is to sell euro sterling.
01:21 minutes
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