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Forex traders might be interested to note sterling increased by 0.1 per cent versus its US counterpart at $1.6023, Reuters reports.
Geraldine Concagh, economist at AIB Group Treasury in Dublin, said the Bank of England (BoE) - which is set to publish its quarterly inflation report later this week - will revise inflation predictions higher and everything could be set up for an interest rate hike in May.
What's more, some traders believe sterling was supported due to General Electric (GE) reportedly being near to buying a division of UK company John Wood Group.
Ms Concagh added: "The GE deal could be having some impact, but sterling remains bid this week on expectations of higher interest rates in the UK."
This comes after the pound decreased by 0.2 per cent against the dollar on Friday morning.
Posted by Greg Secker
