6 Aug 2015
GBP/USD headed to 1.51 for Q4 - Scotiabank
FXStreet (Guatemala) - Analysts at Scotiabank explained and noted that GBP outperformed all of the major currencies in July with a modest decline vs. the USD.
Key Quotes:
"The BoE’s narrow policy gap to the Fed provides insulation from some of the broader USD risk; however, we note that divergence in the scale of anticipated tightening is likely to weigh on GBP over the medium term.
GBP sentiment remains bearish, with a modest $2.1bn CFTC net short as of mid-July. We hold a Q4 2015 GBP/USD forecast of 1.51."
Key Quotes:
"The BoE’s narrow policy gap to the Fed provides insulation from some of the broader USD risk; however, we note that divergence in the scale of anticipated tightening is likely to weigh on GBP over the medium term.
GBP sentiment remains bearish, with a modest $2.1bn CFTC net short as of mid-July. We hold a Q4 2015 GBP/USD forecast of 1.51."