Forex: Bullish British Pound Trend to Gather Pace- Broader Range in Focus | DailyFX: "Although the BoE adopted a 7.0% threshold for unemployment, the central bank added the inflation ‘knock out,’ which sparked speculation that the Monetary Policy Committee may have to start normalizing monetary policy ahead of schedule, and the shift in the policy outlook may continue to prop up the sterling as the board has failed to achieve the 2% target for price growth since late 2009. Given the MPC’s track record, the risk of seeing inflation expectations being unanchored may become a growing concern for the committee, and a stronger-than-expected U.K. CPI print may spark another short-term rally in the British Pound as it dampens the BoE’s scope to retain its highly accommodative policy stance."
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