GBP/USD hits 15 year high @ 2.0000
17 April 2007
17.04.07
Sterling
advanced beyond the $2.00 mark for the first time in fifteen years this morning after the release of CPI data for March. An unexpectedly sharp rise in petrol and food prices resulted in the headline Consumer Price Index (3.1%y/y) showing its highest level since comparable records began in January 1997. The news is likely to fuel expectations of further rate increases from the MPC in the months ahead and consequently, the market will now pay close attention to the release of the minutes from their meeting earlier this month for confirmation of a rate hike in May.