British Pound to Indian Rupee (GBP/INR), Euro (GBP/EUR) and US Dollar (GBP/USD) Exchange Rate Forecast – BoE Decision Ahead
Ahead of the Bank of England’s (BoE) interest rate announcement, the British Pound gained on a number of peers thanks to Tuesday’s UK Services PMI and Wednesday’s domestic car registrations data.
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The British Pound to Indian Rupee (GBP/INR), British Pound to Euro (GBP/EUR) and British Pound to US Dollar (GBP/USD) exchange rates all rallied over the course of the European session despite the fact that economists are expecting the BoE announcement to be a bit of a non-event.
The central bank isn’t forecast to make any adjustments to interest rates or the level of asset purchases, so the announcement is unlikely to spark much Pound movement.
However, the recent run of positive UK ecostats have put a 2015 interest rate increase back on the table – lending Sterling support in spite of the UK election uncertainty.
British Pound to Indian Rupee (GBP/INR) Exchange Rate Forecast – Indian Inflation Data Ahead
On Wednesday the British Pound to Indian Rupee (GBP/INR) exchange rate advanced by 0.7% to hit a high of 93.0310.
The Rupee also lost ground against the US Dollar as increased demand for the ‘Greenback’ among importers took a toll.
The GBP/INR exchange rate could experience fluctuations as a result of the Bank of England’s upcoming interest rate decision, but movement is far more likely to be occasioned by Friday’s run of influential Indian data.
Economists with an interest in the British Pound to Indian Rupee (GBP/INR) exchange rate will be paying particular attention to India’s Trade Balance, Industrial Production, Manufacturing Production and Inflation stats.
The rate of inflation in the nation is forecast to slow from 5.37% to 4.8% in March on the year. As the Reserve Bank of India (RBI) signalled that it would be watching inflation closely before making any interest rate adjustments, a surprising result could spark Rupee volatility.
British Pound to Euro (GBP/EUR) Exchange Rate Forecast – Sterling Rallies Beyond 1.37
A mixed bag of economic reports for the Eurozone didn’t prevent Sterling from asserting itself against the common currency on Wednesday and the British Pound to Euro (GBP/EUR) exchange rate advanced by 0.3% to trade in the region of 1.3740.
Demand for the Euro was a little undermined by persistent Greek bailout concerns and a below-forecast German Factory Orders report.
The Greek Prime Minister will be meeting with the Russian President today and the outcome of the gathering could have serious repercussions.
Although Greek officials have asserted that aid will not be discussed, many investors believe the Hellenic nation may broach the subject of a possible Russian bailout as a safeguard should the negotiations with the Eurozone go awry.
On Thursday GBP/EUR exchange rate movement could be caused by Germany’s Industrial Production and trade balance reports.
British Pound to US Dollar (GBP/USD) Exchange Rate Forecast to Fluctuate after FOMC Minutes
With Friday’s less-than-spectacular US Non-Farm Payrolls report continuing to weigh on demand for the US Dollar, the Pound was able to gain surge by over 0.8% against the ‘Greenback’ over the course of the European session.
The GBP/USD exchange rate advanced to a high of 1.4951 – within jumping distance of the key support level of 1.50.
Should the minutes from the last Federal Open Market Committee (FOMC) policy meeting indicate that interest rates will remain on hold for the foreseeable future; the Pound could extend gains against the US Dollar.
Further GBP/USD exchange rate volatility could be occasioned by the UK’s trade data and the US initial jobless/continuing claims figures.
The British Pound to Indian Rupee (GBP/INR) exchange rate is trending in the region of 93.0310, the British Pound to Euro (GBP/EUR) exchange rate is trading in the region of 1.3734, and the British Pound to US Dollar (GBP/USD) exchange rate is trending in the region of 1.4948.