GBP Trading Outlook (14-06-2011)

The Sterling (GBP) was well supported not just on EUR/GBP selling but on broad support for the Pound having a rare positive day. Some Support was seen on comments from BOE Weale that a preemptive rate hike now would help the central bank achieve inflation targets later. Overall the GBP/USD traded with a low of 1.6219 and a high of 1.6392 before closing the day at 1.6415 in the New York session. Looking ahead, May CPI is forecast at 0.2% vs. 1% previously.

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