BOE Governor Mark Carney helps boost the pound with more words about a Brexit and encouraging talk about inflation.
GBP/USD is already touching 1.46, up over 100 pips on the day and extending the previous gains.
While Carney insists his words about the referendum are not political, he draws a clear difference between a Bremain and a Brexit vote. A vote to remain in is likely to result in a rebound in economic activity while a Brexit could cause a slower growth and a weaker pound. There is nothing really new here and everything makes sense, but the public is certainly listenning to the repetitive message.
Also on the much less political topic of inflation, which actually is the mandate of the BOE, Carney says that inflation has passed its trough. Is he declaring victory on inflation? In any case, with no extreme fear of deflation, the pound has room to rise on further expectations for a rate hike.
Here is the GBP/USD chart. The next resistance is at 1.4650. Support awaits at 1.4440.
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