Pound Sterling edges higher as the BoE's deputy governors lean toward a hike
The Bank of England (BoE) held the UKs Bank Rate at 3.75% on September 17 by six votes to three, and half of the six who voted to hold now say a hike may be needed. BoE Deputy Governor Ramsden said in London on Monday that there could be a case for raising the Bank Rate if upside pressure on the inflation outlook keeps building, after Deputy Governors Breeden and Lombardelli made the same argument on Thursday. GBP/USD closed just above 1.3250 for a second straight gain. The same count could point the other way Chief Economist Pill and external members Greene and Mann voted for 4% on September 17. If Ramsden, Breeden and Lombardelli join them in November, the committee would hike by the same six votes to three it used to hold, and BoE Governor Bailey and external members Dhingra and Taylor would be the ones outvoted. All three deputies point to the same risk, that energy prices feed into wage bargaining and price-setting. The ECB and the Fed have both raised rates since the Iran war began on February 28, and the BoE hasn‘t. It has held at 3.75% at every meeting this year, arguing its policy was already restrictive,









