What are the prospects for the British pound? The British pound rose sharply against the US dollar and other world currencies after the release of good inflation data, which again "awakened" the talks about raising interest rates by the Bank of England. Although such prospects, of course, are quite lengthy, judging by the latest data, with inflation in the UK, after a disastrous July month, everything is in order in August. According to the report of the National Bureau of Statistics of Great Britain, both monthly and annual inflation grew. Remarkably, the two indicators were much better than the economists' forecasts. So, the consumer price index of Great Britain in August this year increased by 2.9% compared to the same period of the previous year, while economists expected growth of only 2.7%. The growth was due to a sharp jump in prices for clothing and footwear. Compared to July 2017, the consumer price index rose by 0.6%, while economists forecast an increase of 0.5%. The country's factory gate prices in August rose by 3.4% compared to the same period of the previous year, while purchasing prices jumped by 7.6%. The increase in purchasing prices was directly related to the rising prices of crude oil. Such good performance is unlikely to affect the decision of the Bank of England this Thursday, when it is expected that the regulator will leave the key interest rate unchanged at 0.25%, as the economic growth remains moderate. The most positive forecasts of economists indicate an increase in the cost of borrowing at the beginning of next year, although the optimal period is mid-2018. As for the technical picture of the GBPUSD pair, majority will depend on how the new buyers show themselves at the level of 1.3260, because an unsuccessful consolidation above this level can trigger a gradual selling of the pound in the medium term. The high that buyers can expect in this scenario is the update of 1.3330 and 1.3370. If, after the decision of the Bank of England, the trade moves below the level of 1.3260, then it is likely that the pound will be sold quickly to the larger support levels 1.3190 and 1.3090. According to The Retail Economist and Goldman Sachs, the US retail sales index for the week of September 3-9 fell by 3.0% compared to last week, which is generally related to seasonality before the start of the academic year. Compared to the same period in 2016, the sales index in the US retail chains grew by 2.3%. Analysis are provided byInstaForex.