In the Asian session on Thursday (May 25), the latest price of GBP/USD was 1.2359, and the opening price was 1.2364. The Bank of England is set to raise interest rates in June.
The CPI in the UK rose by 8.7% year-on-year in April, higher than the expected value of 8.2%, exceeding expectations for three consecutive months, and the previous value was 10.1%. The core CPI accelerated again to 6.8%, a 30-year high, also higher than the expected value of 6.2%. Bank of England Governor Bailey warned that inflation in the country is sticky and will take longer to come down. UK inflation fell markedly as April did not repeat last year’s sharp rise in energy prices, but annual food price inflation remained near record highs. Economist James Smith said Britain’s inflation rate in April was higher than almost everyone expected, including the Bank of England, which certainly increased the chances of another rate hike in June.
