Wednesday, February 20, 2013

Pound Plunges As King Loses QE Vote

The pound has plunged against key economies after it was revealed that the Bank of England boss voted for an increase in monetary stimulus.

Sterling fell to fresh multi-month lows against the euro and the dollar after minutes from the BoE showed governor Sir Mervyn King wanted an increase of quantitative easing (QE) to £400bn.

The notes unexpectedly showed three out of the nine BoE policymakers voted for an increase in asset purchases under the bank's QE programme, which currently sits at £375bn.