King Warns of Potential For Inflation

The pound quietly marked a four-month high against the euro today after a higher-than expected UK inflation report had some thinking that the Bank of England may consider raising interest rates. The euro has also been muted lately with concerns over the growing debt in Greece and Italy.

On Tuesday, Bank of England Governor Mervyn King noted that inflation was “likely to pick up markedly in the first half of this year” and could exceed the Bank’s mandated target of 2 percent growth during the second half of the year.

BBC News

Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.