Pound Slumps to 15-Month Low Against Euro on BOE Minutes

The pound slumped to a 15-month low against the euro after Bank of England minutes showed more officials voted to expand asset purchases at this month’s meeting, a policy that that typically debases a currency.

Sterling dropped to the lowest level since June versus the dollar after minutes of the central bank’s Feb. 7 meeting showed policy makers also considered an interest-rate cut. Governor Mervyn King and Paul Fisher joined David Miles in voting to increase the target for bond purchases by 25 billion pounds ($38.3 billion) to 400 billion pounds, though they were outvoted by the remaining six members of the Monetary Policy Committee. U.K. government bonds declined.