Sterling falls after Bank of England minutes

23 February, 2012


This morning’s Bank of England minutes have sent the Pound falling back as it was revealed that 2 committee members voted for a larger increase in Quantitative Easing. David Miles joined long-standing “dove” Adam Posen in voting for a £75bn boost, but were outvoted by the other seven monetary policy committee (MPC) members, who voted for the £50bn increase.

QE is notoriously bad for sterling, and the minutes showed that there may be further economic stimulus to come in the months ahead.