# Bank of England Says Inflation’s OK, Pound Tumbles - WSJ

> The Bank of England kept rates on hold and signaled tolerance for inflation running above target in coming months. Sterling fell about 1% against the dollar to $1.2541 and 1.3% against the euro, while UK gilts rallied.

- Date: 2017-02-02 · published 2017-02-02T12:00:00.000Z
- Category: macro · region UK · magnitude low
- Page: https://feedsoft.ai/events/72733-bank-of-england-says-inflation-s-ok-pound-tumbles-wsj
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md), [Euro (USD per EUR)](https://feedsoft.ai/c/EURUSD.md)

## Why it matters

Dovish rate signals weaken sterling and strengthen the dollar, which affects dollar-denominated feed commodity values for UK and other importers only indirectly; the currency move is the main price channel here.

## Read by commodity

- DXY: bullish ▲
- EURUSD: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2023-02-27 | [Why inflation in the U.S. is a problem for the Bank of Canada](https://feedsoft.ai/events/37582-why-inflation-in-the-u-s-is-a-problem-for-the-bank-of-canada.md) | -0.7% | -0.9% |
| DXY | 2023-09-21 | [Reactions: Bank of England bashes pound after halting rate rises](https://feedsoft.ai/events/34354-reactions-bank-of-england-bashes-pound-after-halting-rate-rises.md) | +1.7% | +2.3% |
| DXY | 2026-03-18 | [Gold Tumbles as Powell’s Inflation Concerns Dash Easing Bets](https://feedsoft.ai/events/20074-gold-tumbles-as-powell-s-inflation-concerns-dash-easing-bets.md) | +0.2% | -1.2% |
| DXY | 2017-02-02 | [British Pound Receives a Reality Check from the Bank of England](https://feedsoft.ai/events/72737-british-pound-receives-a-reality-check-from-the-bank-of-england.md) | -0.2% | +0.4% |
| DXY | 2021-06-24 | [Bank of England in No Rush to Normalise, Pound Falls Following June Statement](https://feedsoft.ai/events/46821-bank-of-england-in-no-rush-to-normalise-pound-falls-following-june-statement.md) | +0.2% | +1.0% |
| EURUSD | 2019-04-12 | [Pound Sterling Forecasts Slashed at ING after Brextension Derails Bank of England](https://feedsoft.ai/events/59849-pound-sterling-forecasts-slashed-at-ing-after-brextension-derails-bank-of.md) | -0.2% | -0.3% |
| EURUSD | 2023-01-31 | [Expect Pound Sterling Weakness against Euro, Dollar in Wake of Bank of England: CIBC](https://feedsoft.ai/events/38020-expect-pound-sterling-weakness-against-euro-dollar-in-wake-of-bank-of-england.md) | -1.3% | -2.4% |
| EURUSD | 2024-01-31 | [Pound pares advance against Euro and Dollar as investors position for Bank of England By PoundSterlingLIVE](https://feedsoft.ai/events/32370-pound-pares-advance-against-euro-and-dollar-as-investors-position-for-bank-of.md) | -0.9% | -0.0% |

## Sources

- wsj.com: https://www.wsj.com/articles/bank-of-england-says-inflations-ok-pound-tumbles-1486051348

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