Forex – Pound Hits 2-Week Highs on BoE Rate Hike Comments


© Reuters. Pound hits 2-week highs on BoE rate hike comments

Investing.com – The pound rose to its highest level in two weeks against the dollar on Tuesday after a senior Bank of England official said UK interest rates should be raised again without delay.

was up 0.32% to 1.4174 by 05:39 AM ET (09:39 AM GMT), the most since March 28.

The pound climbed after BoE monetary policy committee member Ian McCafferty said the prospect of faster pay rises and a strong pick-up in the global economy emphasized the need for before long.

In an interview with Reuters McCafferty said that wage growth, which has lagged inflation for much of the past decade, could prove to be stronger than many of his colleagues on the monetary policy committee believed.

“We shouldn’t dally when it comes to tightening policy modestly,” McCafferty said.

McCafferty was one of the two policymakers who voted for a rate hike last month.

The BoE raised rates for the first time in nearly a decade in November and in February indicated that rates would need to rise again in the coming months, possibly as soon as May.

Sterling was also higher against the euro, with down 0.26% to 0.8695.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Comments

comments