Tuesday, Sep 15, 2009

Markets Reaction to Possible Interest Rate Changes on Reserves

Reuters: Sterling hits 4-month low vs euro on King comment

Sterling fell broadly on Tuesday, hitting a four-month low versus the euro after Bank of England Governor Mervyn King said he was considering cutting the rate paid on reserves which UK banks park at the central bank.

Posted by sybil13 @ 12:36 PM (389 views) Add Comment

2 Comments

1. techieman said...

...or maybe its because there was a Doji on the USD dailies on Friday? Bullish trendline support round 1.6380 lets see what it does there.

Tuesday, September 15, 2009 04:38PM Report Comment
 

2. Maihem said...

Expectations that the QE money will finally be withdrawn by the major banks and pumped into the market drives fear of large losses by holders of sterling.

Tuesday, September 15, 2009 06:51PM Report Comment
 

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