British Pound: Looking for Clues to Verify the Need for another Rate Hike

The British pound is weaker across the board on the back of carry liquidation. There was no UK economic data released overnight, so the move in the currency pair is far more flow than data driven.

Blanchflower, who is typically seen as a dove indicated today that he voted in favor of a rate hike this month but gave little clues as to whether he will continue to support tighter monetary policy in the meetings to come. The economic calendar picks up for the UK tomorrow with Nationwide house prices, consumer credit, mortgage approvals, money supply, the GfK consumer confidence index and the CBI Distributive trades survey all due for release. Most of these are tier 2 data, but with traders looking for clues to whether the Bank of England will still raise rates this year, any big surprises in the data could be market moving.