GBP/USD: pound plummets on BoE decisions and downgraded outlook - FXStreet

Valeria Bednarik, chief analyst at FXStreet explained that Bank of England´s Governor, Mark Carney, got ahead of the market this Thursday cutting UK's rates and reigniting its QE program.

Key Quotes:

"The BOE not only cut its main benchmark by 25bps to record lows of 0.25%, but also extended expanded its bond purchasing program, by £70 billion, £60 billion in government bonds and £10 billion in corporate bond purchases. The Central Bank also announced  a £100 billion loan program for banks, while slashing the UK's growth forecasts. To make it clear, Carney added  that the "BOE stands ready to take whatever action is needed," leaving doors open for more easing. The Pound plummeted afterwards, with the GBP/USD extending its decline towards the 1.3100 region, where it consolidate during the US afternoon."