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GBP/JPY sinks to 193.35 on BOE negative surprise

FXStreet (Mumbai) - The British pound lost ground and witnessed steep losses versus the Japanese yen on Thursday, following the first ever three-way release of the rate announcement, the MPC minutes and the Inflation Report at once with all three surprising markets on the downside.

GBP/JPY drops from 194.92

Currently, the GBP/JPY pair trades -0.67% lower at 193.50, receding slightly from fresh session lows reached at 193.35. The cross in the GBP/JPY lost 1 big figure and trades deep in the red after the BOE Super Thursday brought in a more dovish BOE minutes with just one policymaker, McCafferty, voted for a rate hike.

Markets had bet that at least two MPC members would vote for a lift-off while central bank also lowered its inflation outlook.

On the other hand, USD/JPY remain dead flat around 124.80 awaiting fresh cues from the weekly jobless claims from the US for further momentum.

GBP/JPY Technical Levels

To the upside, the next resistance is located at 194.30 (Aug 3 High) levels and above which it could extend gains 195.26 (Today’s High) levels. To the downside immediate support might be located at 193 below that at 192.50 (July 29 Low) levels.