Speculation about the central bank of the U.K. leaving monetary stimulus measures intact prompted the English pound to drop toward its lowest rate in 11 months against the common currency of the European Union during the Monday trading session, Bloomberg reports.
Mark Carney, newly installed governor of the Bank of England, said late last week that policy makers plan to leave interest rates low. That time period is projected to be longer than expected by analysts and forecasters. On Tuesday, economic data about May industrial production will be released.
"While it's encouraging to see confidence continuing to improve, we should be mindful of the zig-zag trend that has characterized U.K. business confidence since 2008," partner Peter Hemington with BDO told the news source on Monday.
After convening two days of policy meetings on Wednesday and Thursday of last week, the Bank of England said the recovery of the regional economy is likely to have an impact on expansion.
The policy decision came during Mark Carney's first week as governor. He served in the same capacity at the Bank of Canada, according to The Telegraph.
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