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Pound Euro Exchange Rate News: GBP/EUR Slumped as the BoE Raised Interest Rates by 50bps

February 2, 2023 – Written by John Cameron

Pound (GBP) Soured as BoE Continues its Battle with Inflation

The Pound (GBP) plummeted on Thursday in the wake of the Bank of England (BoE) interest rate decision. Despite the expected increase by 50bps, the dire state of the UK economy limited gains from a continued aggressive rate hike cycle.

A weak economy, combined with sky-high inflation didn’t leave the BoE much room to negotiate. As price pressures remained elevated, the central bank was left with little choice but to continue their ascent. Compared…
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