GBP/USD drops to lows near 1.3520 post-BoE

• The pair weakens to the 1.3520 region following the BoE decision.
• Cable fades the bull run beyond 1.3600 in the wake of Inflation report.
• BoE kept the refi rate intact at 0.50%, matching the recent consensus.

GBP/USD navigates the lower end of the daily range so far on Thursday around the 1.3520/10 zone in the wake of the BoE event.

GBP/USD weaker post-BoE

Matching prior surveys, the Bank of England left unchanged the refi rate at 0.50%, the asset purchase facility at £435 billion and corporate bond purchases at £10 billion.

MPC members voted 7-2 favouring the current status quo. In its Inflation Report, the BoE now seen inflation lower in the near to medium term.

Still in the UK, the NIESR GDP Estimate came in at 0.1% from previous 0.2%.

GBP/USD levels to consider

As of writing, the pair is losing 0.14% at 1.3529 facing the next support at 1.3487 (low May 4) seconded by 1.3457 (2018 low Jan.11) and finally 1.3400 (psychological level). On the upside, a break above 1.3818 (10-day sma) would aim for 1.3658 (2017 high Sep.20) and then 1.3712 (low Mar.1).