Sterling rises to highest level since June 2016 Brexit referendum

Sterling rose to its highest level since the June 2016 Brexit referendum. Traders said the UK is being seen in a different light because of relative political stability, solid growth, and the rapprochement with the European Union. Jim O'Neill, an economist and former Treasury minister, said: "I'm not surprised. People were, and to a lesser extent, are, underestimating the improving momentum in the UK." A stronger pound can help rein in inflation and increase buying power for consumers on imports and holidays. UK growth so far this year has outperformed all expectations, but higher energy and fuel prices have hit consumer confidence. The Bank's nine-member Monetary Policy Committee faces an interest-rate decision on Thursday, with the first rise in three years widely expected.