Speaking on CNBC, BOE Bailey says:
- We see impact of tariff uncertainty coming through two business investment and consumers.
- Impact of tariffs on exchange-rate has not been that large for the UK.
- We are focused on the growth shock from tariffs.
- I don't think UK economy is close to recession.
- Last GDP data was quite encouraging.
- Week PMI data reflects companies uncertainty.
- Talk about potential loss of dollar reserve currency status is overdone.
- I hope upcoming UK inflation bump will be transitory
The GBPUSD has moved lower on the Bailey comments.
The GBPUSD moved up to test - and even break briefly - the 100-hour MA at 1.33282.The high price reached 1.3332.
However, the price has since moved lower and now looks toward interim support near 1.3292. Moving below that level and the 200-hour moving average at 1.32798 becomes the focus. Yesterday -and earlier today - the price dipped below that moving average only to fail on each of the moves on the breaks.
Buyers and sellers are waiting for a bigger shove.
