Forex: EUR/GBP rises above 0.8820 after BoE monetary policy decision

Friday, May 8, 2009

The EUR has won around 65 pips against GBP after the BoE released its decision
of hold unchanged its interest rate at 0.50%, decision was in line of expectations. EUR/GBP climbed up from 0.8790 to reach 0.8855, intra-day high. Currently the pair is trading around 0.8820/30, 0.40% above today's opening price.

The Bank of England has decided to leave its official bank rate unchanged at 0.5%at its May monetary policy meeting and to continue with the program of asset purchases financed by the issuance of central bank reserves and increase its size by GBP50 billion to a total of GBP125 billion.

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