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According to Reuters, sterling moved up 0.5 per cent against the dollar at $1.6120 following information that revealed UK inflation remains high.
Forex traders might be interested to note the news provider pointed out the Bank of England's (BoE) inflation report - which is set to be published tomorrow - is likely to be "hawkish".
What's more, BoE governor Mervyn King has revealed in a letter that he thinks inflation will rise towards five per cent in the forthcoming months.
Earlier today, data revealed consumer price inflation was up to four per cent in January compared to 3.7 per cent in December - and the advance was in line with predictions made by economists.
But this did not positively affect the pound as it eased against the dollar by falling to $1.6050 from $1.6090 this morning.
Posted by Greg Secker
