The British Pound Sterling, on Thursday, March 16 soared after outgoing Bank of England policymaker Kristen Forbes unexpectedly voted for a rise in interest rates at the bank’s March meeting.
The central bank’s minutes also fed market speculation that some officials might be close to supporting a rate hike to combat rising inflation, and the pound surged by almost a full cent in response.
British 10-year gilt yields rose by 3 basis points on the day to 1.24 percent after the decision and publication of the minutes, while the pound hit a two-week high of $1.2346, from around $1.2260 beforehand.
Having been given some relief from Brexit-related political and economic worries by a sell-off in the dollar on Wednesday, sterling also gained over half a percent to 86.81 pence per euro, taking back all of its earlier losses.
