Pound Gains for Third Week as Oil Prices Stabilize
Sterling rose to 1.346 dollars on Friday as steady oil prices around 95 dollars a barrel improved investor risk appetite. A Bank of England survey showing slower expected price hikes by businesses has reinforced expectations that interest rates will remain on hold during this month's policy meeting.
GBP/USD rose 0.3% to $1.346 on Friday morning, marking a 0.1% weekly increase and its third consecutive weekly gain. This advance follows a period of stable energy prices and cooling inflation expectations in the United Kingdom. The move suggests markets are pricing in a prolonged pause on interest rate hikes by the BoE.
### Oil Stability Drives Risk Appetite Brent Crude Oil held near $95 a barrel on Friday as stalled peace talks between the United States and Iran failed to trigger new hostilities. This price stability has encouraged investors to move into volatile currencies, including the pound and the dollars of Australia and New Zealand.
