GBP/USD ahead of the BoE - Scotiabank

Analysts at Scotiabank explained the conditions surrounding GBP/USD in the lead up to tomorrow's BoE.

BoE preview: a picture is worth a thousand words

Key Quotes:

"UK industrial production data added to the weak undertone seen in other countries in March so far. Output rose 0.3% in the month, below consensus expectations of a 0.3% gain, while manufacturing production rose just 0.1% (versus +0.03% expected on the street)."

"The GBP dipped on the data but recovered quickly from the 1.44 area."

"The data underpin the impression that the UK economy has slowed early in the year, perhaps reflecting uncertainty ahead of the June EU referendum. The BoE meets Thursday but is widely expected to keep policy unchanged."