FXStreet reports that economists at Scotiabank expect GBP/USD to suffer a minor downward drift toward 1.36 owing to the chance that the BoE holds.
“We think the odds that the BoE holds have risen. A rate hike this year still seems likely but the BoE may want to rein in expectations for 2022 - and hiking at the same time makes this a complicated message.”
“GBP/USD looks on track for a test of 1.36 that should stand as firm support and see it bought on dips below the figure until ~1.3585. A break below the mid-figure zone does leave the GBP at a clear risk of re-testing the low 1.34s where it traded in late-September.”