BoE Minutes Contribute to Pound’s Strength

Monetary policy minutes of the latest Bank of England meeting revealed that two policy makers were in favor of raising interest rates. This caused the Great Britain pound to gain against its major counterparts.

According to the minutes, two members of the Monetary Policy Committee voted for an interest rate hike during this month’s BoE meeting. It was a surprise as most analysts believed that the vote would be unanimous as it has been for the past three years. While the majority of experts still does not believe that monetary tightening will happen this year, the increasing hawkishness of BoE members is definitely a positive sign for the sterling.

GBP/USD advanced from 1.6620 to 1.6646 as of 13:35 GMT today, reaching the high of 1.6679 intraday. GBP/JPY climbed from 170.98 to 171.95.

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