The British pound came off vis--vis the U.S. dollar today as cable tested bids around the US$ 1.9720 level and was capped around the $1.9840 level. As expected, Bank of England reduced its repo rate target today for the third time in five months, taking the headline rate lower by 25bps to 5.00%. Monetary Policy Committee members reported that upside inflation pressures remain but said a worsening of credit conditions and a decrease in the availability of credit warranted todays move. Traders await the release of the minutes from todays meeting on 23 April followed by the quarterly inflation report in May. NIESR estimates Q1 quarterly GDP growth reached 0.5% in the U.K. Cable bids are cited around the US$ 1.9605 levels. The euro moved lower vis--vis the British pound as the single currency tested bids around the ₤0.7965 level and was capped around the ₤0.8030 level.