# Dollar Vs Pound: Greenback Could Drop on Big Bank of England Rate Hike - Markets Insider

> A Forex.com analyst said the Bank of England could raise its benchmark rate by 50 basis points at its August 4 meeting, the largest increase since 1995. That would take the benchmark to 1.75% and could push the dollar to a near two-month low against sterling. The move would respond to persistently high UK inflation.

- Date: 2022-07-28 · published 2022-07-28T12:00:00.000Z
- Category: macro · region UK · magnitude low
- Page: https://feedsoft.ai/events/40756-dollar-vs-pound-greenback-could-drop-on-big-bank-of-england-rate-hike-markets
- Commodities: [British Pound (USD per GBP)](https://feedsoft.ai/c/GBPUSD.md), [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

A stronger pound against a weaker dollar would tend to support dollar-priced commodities, but the effect on feed markets would be modest.

## Read by commodity

- DXY: bearish ▼
- GBPUSD: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2022-05-23 | [Dollar Vs. Euro: Greenback Hits One-Month Low As ECB Eyes Rate Hikes - Markets Insider](https://feedsoft.ai/events/41613-dollar-vs-euro-greenback-hits-one-month-low-as-ecb-eyes-rate-hikes-markets.md) | -0.9% | +1.1% |
| DXY | 2017-06-28 | [Pound jumps on Bank of England Governor's rate rise hint - BBC News](https://feedsoft.ai/events/70748-pound-jumps-on-bank-of-england-governor-s-rate-rise-hint-bbc-news.md) | +0.1% | -1.9% |
| DXY | 2024-08-26 | [US Dollar Falls After Powell Rate-Cut Signal but Downside Limited: GS - Markets Insider](https://feedsoft.ai/events/28988-us-dollar-falls-after-powell-rate-cut-signal-but-downside-limited-gs-markets.md) | +0.7% | -0.0% |
| DXY | 2023-01-23 | [Dollar edges lower vs euro on ECB rate hike bets \| Reuters](https://feedsoft.ai/events/37999-dollar-edges-lower-vs-euro-on-ecb-rate-hike-bets-reuters.md) | -0.4% | +1.0% |
| DXY | 2025-02-06 | [Yen hits 8-week high; sterling drops after Bank of England rate cut](https://feedsoft.ai/events/26320-yen-hits-8-week-high-sterling-drops-after-bank-of-england-rate-cut.md) | +0.3% | -1.5% |

## Sources

- markets.businessinsider.com: https://markets.businessinsider.com/news/currencies/dollar-vs-pound-fed-rate-hike-bank-england-inflation-gbpusd-2022-7

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