Pound in Best Week Since 2009 as Brexit Relief Rally Intensifies

  • Sterling rises for sixth day, longest run since March
  • BOE policy, economy don’t justify pound weakness: UBS Wealth

How the BOE and Brexit Are Impacting the Pound

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The pound posted its best week since 2009 as a flurry of news offered relief for the currency.

Sterling climbed this week on speculation a High Court ruling will delay or soften the terms of the nation’s exit from the European Union and it received a further boost when the Bank of England said it’s no longer expecting to cut interest rates again this year. The BOE also raised its forecasts for both consumer-price increases and growth. Options pricing indicates that traders have become less bearish on the pound in the short term.