Why is the Sterling trading higher versus most of the majors on Wednesday?

[Grace A]

[Ignatius Bose]

Pound Sterling is forging ahead versus most of the majors on Wednesday, rising for the fourth straight session against the dollar and the second versus the euro after signs that Theresa May’s Conservative Party may close the Brexit deal with Labour leader Jeremy Corbyn as early as next week. The Sterling was also boosted ahead of the outcome of the Federal Reserve and the Bank of England’s monetary policy meeting today and tomorrow correspondingly.

While the Fed is expected to maintain status quo on interest rates in spite of US President Trump calling on the Central Bank to cut rates, policymakers at the Bank of England too is expected to leave the Bank Rate unchanged at 0.75 percent at least until England’s exit from the European Union is complete.

At 1.15 PM GMT, Sterling was trading at 1.3073 versus the greenback, close to two-week highs while against the euro, the sterling gained of 0.10 percent and was trading at 1.1636, inching to the highest in four weeks.