SaxoTV

Why cable has much further to fall

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With UK inflation falling to a record low, GBPUSD also has much further to fall. That's according to Nick Beecroft, the Chairman of Saxo Capital Markets. He predicts cable will drop to sub 1.40 by the middle of the year.
The Bank of England has admitted that inflation could be zero or even lower in the coming months and Nick discounts the Governor's view that the rate will soon recover closer to the central bank's target. Nick says we won't see interest rate rises until the middle of 2016 and before that, negative rates and more QE are certainly not out of the question.