It’s been a torrid week for sterling, weakening by between 1.5% and 3.5% against its closest 10 rivals, and by even more against currencies like the high-flying Brazilian real. Nevertheless there is evidence of stability and some recovery today.
Following the shocking November Monetary Policy Report yesterday, warning of a long and deep recession, there will be comments from the Bank of England’s chief economist Huw Pill at lunchtime today.
With its largest rate hike for 33 years yesterday, the Bank of England is actively if belatedly trying to cool the economy to tame inflation. One effect of that will be on house prices, which fell last month according to the Nationwide this week. We’ll hear more from the Halifax on Monday.
GBP/EUR past year
