# Pound skids 2% on BoE recession warning, biggest daily fall since 2020 | Reuters

> Sterling fell more than 2% against the dollar to $1.23615 after the Bank of England raised rates to their highest since 2009 but warned of recession risk. It was on track for its biggest one-day drop since March 2020.

- Date: 2022-05-05 · published 2022-05-05T12:00:00.000Z
- Category: macro · region UK · magnitude medium
- Page: https://feedsoft.ai/events/41640-pound-skids-2-on-boe-recession-warning-biggest-daily-fall-since-2020-reuters
- Commodities: [British Pound (USD per GBP)](https://feedsoft.ai/c/GBPUSD.md)

## Why it matters

A sharp sterling drop reflects a tightening BoE alongside weak growth, which can weigh on UK livestock and feed demand. The impact on global feed grain prices is modest.

## Read by commodity

- GBPUSD: bearish ▼

## Sources

- reuters.com: https://www.reuters.com/business/finance/sterling-tumbles-boe-flags-recession-risks-after-rate-hike-2022-05-05/

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