Bank of England sends mixed signals

Some good news for the Pound at last this week, as Bank of England MPC member Paul Fisher told the FT that quantitative easing is now working, “having the scale and impact that we would have hoped for”.

The Pound has been struggling on expectations that the Bank would increase QE by pumping more money in to the economy at its next meeting in November. We would expect more volatility leading up to the announcement, as speculation increased as to what the Bank’s next move will be.