FX Pound Stays Weak,Holds Steady As BOE Releases Inflation Report
Pound Stays Weak,Holds Steady As BOE Releases Inflation Report
LONDON (Dow Jones)--Sterling is holding steady after earlier losses as the Bank of England releases the details of its quarterly Inflation Report.
Concerns that the BOE's report could reveal a surprisingly gloomy assessment of the U.K. economic outlook had helped to put selling pressure on the pound in earlier trading.
But as the BOE said the timing and strength of the U.K.'s recovery remain highly uncertain, the pound made only modest losses.
The euro spiked to GBP0.8607 as the report was initially released, before settling back into its range for the day at GBP0.8598 by 0956 GMT, as BOE Governor Mervyn King continued conducting his press conference.
The pound tumbled to $1.6409 against the dollar as the report was released, but it didn't break below its low point for the day at $1.6394.
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