Pound Hits One-Year High as Rate-Hike Odds Rise
- Inflation print could have material impact on BOE debate: BMO
- Year-on-year CPI figure rises to 2.9%, beating median forecast
AllianzGI CEO Says Carney to Explain Inflation Away
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The pound rose to a one-year high against the dollar after U.K. inflation accelerated more than forecast, prompting investors to bring forward expectations for an interest-rate increase by the Bank of England next year.
Sterling strengthened against all of its Group-of-10 counterparts after U.K. legislation to withdraw Britain from the European Union passed its first parliamentary hurdle, and data showed consumer prices rose an annual 2.9 percent in August. That was more than the 2.8 percent median economist estimate in a Bloomberg survey and July’s 2.6 percent reading.