Sterling had a good start to the week, gaining ground across the board even though it had struggled in early trading. There was a dearth of UK news but this didn’t stop sterling and by the end of the day it had risen to fresh 7-year highs against the euro and close to a six-week high against the dollar.
Today we see important data released from around the globe. From the UK, there is the inflation report hearing where Bank of England policy makers will testify on inflation and the economic outlook before Parliament’s Treasury Committee. Direct comments made here regarding the currency markets could result in movement for sterling, particularly with the heads of both the European and US central banks speaking later in the day, so best to expect another busy day in the currency markets.