🔹The Bank of England, in accordance with expectations, kept the key rate at 0.1%. The regulator does not intend to tighten monetary policy, at least until inflation is stable at the 2% target level. As for the pace of asset purchases, they remain at the same level (government bonds: GBP875 billion, corporate bonds: GBP20 billion).
🔹Inflation temporarily exceeded the target of 2%, mainly due to changes in energy prices (at the peak, it is possible to reach 3%). As these transitional effects caused by the market trajectory of interest rates disappear, inflation was expected to return to about 2% in the medium term.
🔹GBPUSD reacted by weakening (by about 70 points) and fell to 1.3900.