05.08.202211:54 Forex Analysis & Reviews: UK inflation is likely to hit 13% by the end of the year

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The Bank of England decided to raise interest rates by 50 basis points to 1.75%.

As a result, GBP/USD fell by 1,400 pips, and currently has good potential for a further decline.

because companies are having trouble hiring the people they need, as well as feel the need to raise prices.

He stressed that the central bank must act to prevent a further growth in inflation, which is rising at its fastest pace in four decades. So far, it is projected to top 13% by the end of this year.

The outlook pushed the FTSE index to close yesterday in negative territory, with significant downside potential.

Bailey said the risk is that high inflation may extend, not going down as what was expected. He added that there is a decrease in the workforce as businesses had trouble hiring people, as well as had to raise prices.

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