Pound, Inflation and BOE in focus this week- GBP/USD hits session highs right now

On Wednesday morning at 6am GMT the UK will release its latest CPI and RPI inflation data. Then  on Thursday the Bank of England will deliver their final monetary policy decision ahead of the July 4 General Election. Very few, if any analysts expect any change there and it would be a huge shock if the BOE were to change the current 5.25% base rate ahead of that important event. So, it is safe to assume, that we can rule the BOE decision as a potential non-event on Thursday. However, it is pretty much odds on the UK will get a Labour Government after July 4. The Labour party have stated that it is an aim to lower the cost of borrowing, but that does bring into question the independent role of the BOE. There will be more to add on that here ahead of the election and its potential consequences. Meantime, the Pound is a little higher right now versus the dollar, but that inflation data surely holds the key on Wednesday morning, if CPI and RPI come in markedly lower. The markets do expect lower readings, but more detail will be added here tomorrow. Meantime, the GBP/USD is taking some modest advantage of a slightly weaker dollar this evening, but as to where it might be come Wednesday morning at 6.01am GMT is a different matter. The GBP/USD is currently trading at session highs, just now at 1.2696