On Friday, the pound closed at 1.Above 26, the Japanese line recorded three consecutive positive。

Inflation remains high The Bank of England's interest rate decision is imminent and the market expects it to raise interest rates by another 25 basis points.

On March 23, the Bank of England released its interest rate decision and minutes of the meeting, setting the benchmark interest rate at 4.25%, in line with market expectations, the bank's 11th consecutive rate hike since December 2021。

Such an aggressive rate hike still doesn't seem to be able to keep down high inflation in the UK。On April 19, the UK's March CPI monthly rate was released, with the previous value of 1.1%, the predicted value is 0.5%, while the published value is 0.8%, higher than expected。In addition, the UK's retail price index recorded a monthly rate of 0 in March..7%, which is also higher than the forecast。

After the figures were released, UK Chancellor of the Exchequer Jeremy Hunt said Wednesday's figures showed once again why the government must continue its efforts to bring down inflation.。

Andrew Goodwin, chief UK economist at Oxford Economics, said: "The monetary policy committee's criteria for raising interest rates have been clearly met.。"

On May 8, Britain and the United States hit a more than one-year peak, rising to 1.The high of 2668, the highest level since April 2022。On May 11, the Bank of England will announce the UK to May 11 central bank interest rate decision, when the market is expected to raise interest rates by another 25 basis points, raising the benchmark interest rate to 4.50%。

With the meeting just around the corner, big banks are bullish on the pound market;？UK mortgage rates rise first

Societe Generale said the Bank of England will adopt a hawkish policy this week and expects the pound to remain high in the future。This week's meeting is likely to continue to support the pound and counter the bearish seasonal trend, the bank said。Meanwhile, after the release of higher-than-expected payroll and inflation data last month, disagreement was not ruled out that some members renewed their call for a 50 basis point rate hike。The Bank predicts that the Bank of England will raise interest rates by 25 basis points to 4 this week..50%, and will reassess the terminal rate at 4 after the meeting.50% probability。

Bank of England meeting won't weigh on pound, says Mitsubishi UFJ。The agency said the UK economy continued to show resilience and the improved terms of trade brought about by energy prices was a key positive development for sterling.。Huw Pill, the Bank of England's chief economist, has spoken of a "positive demand shock."。As a result, Mitsubishi UFJ does not expect the Bank of England to interrupt the current positive performance of the pound.。

Mike Bell, senior strategist at Goldman Sachs' European portfolio strategy team, noted in a research note on Friday: "Economic activity data in the UK has unexpectedly risen in recent weeks, with bank rates expected to peak at 5%.。She added: "Better growth and higher interest rate expectations have pushed up the pound, which normally boosts the UK domestic stock market, but this time their response may be dampened as earnings per share (EPS) expectations remain relatively low.。"

It is worth noting that UK mortgage rates have started to rise recently as the Bank of England has firmly stated that it will continue its efforts to control inflation and signal a rate hike。Sources say some banks are starting to push up home loan prices again, putting more pressure on families already struggling with the cost of living crunch。

As of press time, Britain and the United States edged down 0 on the day..01%, currently trading at 1.2618。