The enfeebled pound rallied more than one percent against the dollar Wednesday, helped by the Bank of England snapping up UK government bonds to try to bring calm to markets.
“The dollar weakness was triggered by the BoE intervention today, as that gave rise to speculation that other central banks might step in to support their currencies and bonds,” City Index analyst Fawad Razaqzada told AFP.
At 1608 GMT, the UK currency was up 1.05 percent at 1.0846 to the greenback.
