Mitsubishi UFJ: If the Bank of England cuts interest rates faster than expected, the pound may perform poorly

ChainCatcher news, Derek Halpenny from MUFG stated that the prospect of the Bank of England cutting interest rates more than the market expects will hit the pound.

Market expectations for rate cuts this year seem "too cautious," and the pound may underperform non-dollar currencies later this year. The pound was the worst-performing G10 currency in the previous trading day, with the UK's December manufacturing PMI unexpectedly revised down, and gas prices surged, moderately increasing expectations for a rate cut in February. (Jin Shi)