BOE hikes policy rate by 25 bps to 4.25% in March

Following its March policy meeting, the Bank of England (BOE) announced that it raised the policy rate by 25 basis points (bps) to 4.25% as expected. Two policymakers, Tenreyro and Dhingra, vote to keep the policy rate on hold at 4%.

“If there were to be evidence of more persistent pressures, then further tightening of monetary policy would be required,” the BOE said in its policy statement.

After the BOE’s policy statements, GBP/USD is finding it difficult to make a clear move in either direction. At the time of writing, the pair was trading at around 1.2300, somewhat higher than the day before.