The Bank of England (BOE) Chief Economist Andy Haldane noted some optimistic comments on the UK economy on Thursday.
He said that the UK economy may be near pre-pandemic output levels.
Last week, Haldane triggered a sharp rally in GBP/USD after he said that the “UK economy is going gang-busters,” adding that “we may need to start turning off the stimulus tap.”
His hawkish comments remain in investors’ minds ahead of next week’s BOE monetary policy meeting, with expectations of a sooner-than-expected rate hike building up, especially after the US Fed turned hawkish on Wednesday.
Market reaction
GBP/USD is under pressure below 1.4000 once again, having hit fresh six-week lows at 1.3966 in the last hour.
The spot ignores the above comments to trade 0.09% lower at 1.3974, at the time of writing.
