Interest rates in Europe could rise more than previously thought!
The Dollar fell on Wednesday after Minutes of Bank of England Policy Meeting and strong data on Euro-zone industrial Orders suggested interest rates in Europe could rise more than previously thought. The GBP surged against the Dollar after the BoE minutes showed that, contrary to expectations, the Central Bank’s decision to raise rates this month was unanimous, and some members even had considered a half 0.5% rise. The market continues to price in two more 0.25% rate hikes from the European Central Bank this year, to 4.25%, but the chances of further hikes are rising.