Everything is pointing towards tough times in the UK. Therefore, economists at Commerzbank expect Sterling to remain under pressure.
Not much upside for Sterling
“Little has changed about Sterling’s fundamental environment. The economic situation remains dire, inflation risks high and the BoE intent on navigating these troubled waters.”
“We consider the likelihood of the BoE making a hawkish shift to be slim which is why we continue to project a weaker Sterling.”
See – BoE Preview: Forecasts from nine major banks, preparing to gear down