Citi: The pound is expected to weaken as the Bank of England may cut interest rates earlier

On March 25, Citi Research said that it expects the pound to weaken against the US dollar, as the Bank of England may cut interest rates earlier than previously expected. Citi Research is generally bullish on the US dollar against other G10 currencies. The Bank of England left interest rates unchanged last week, with one policymaker voting for a rate cut. Citi analysts said: "Our UK economists believe that the BoE’s first rate cut is likely to remain in May, following the divergence in the BoE’s dovish vote to maintain interest rates. And a more dovish Bank of England is likely to weaken the pound. ”