# BofA Calls Sterling the "USD of Europe" and Raises Near-Term GBP Forecast

> Bank of America raised its near-term sterling forecast and compared the pound to the dollar as Europe's reserve-style currency. Its analysts argue the Bank of England can keep rates at 5.25% longer than other central banks, which gives GBP positive carry.

- Date: 2024-02-28 · published 2024-02-28T12:00:00.000Z
- Category: market · region UK · magnitude low
- Page: https://feedsoft.ai/events/31924-bofa-calls-sterling-the-usd-of-europe-and-raises-near-term-gbp-forecast
- Commodities: [British Pound (USD per GBP)](https://feedsoft.ai/c/GBPUSD.md)

## Why it matters

Expectations of a longer hold at high UK rates support GBP against the euro and other currencies. The read-through to feed commodity prices is small.

## Read by commodity

- GBPUSD: bullish ▲

## Sources

- fx-list.com: https://fx-list.com/blog/news/bofa-calls-sterling-the-usd-of-europe-and-raises-near-term-gbp-forecast

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.