Bank of England deputy governor Bean says it is natural to take stock of its quantitative ease policy each quarter rather than on a month to month basis. While the BOE cut back the size of its bond purchases lately, it has said it has not paused quantitative ease.
Since the BOE addressed QE at its last meeting, we can assume they will not address it at the next two meetings, if we take Bean at his word.
Cable is a laggard today after the IMF yesterday warned that the UK needs to get its fiscal house in order or risk losing credibility with the markets. EUR/GBP is trading in the upper reaches of its range at 0.8650.
