The British pound came off vis-Ã -vis the U.S. dollar today as cable tested bids around the US$ 1.4585 level and was capped around the $1.4780 level. Bank of England€™s Monetary Policy Committee kept its main Bank rate unchanged at 0.5% today and agreed to keep injecting ‚¤75 billion in new liquidity into the economy. This represented the first time in seven months the MPC did not change policy. The Bank is expected to continue purchasing assets for the next two months. Data released in the U.K. today saw March output producer prices climb 0.1% m/m and 2.0% y/y, the weakest rise since July 2007. Core output prices were up 0.2% m/m and 3.3% y/y and input prices were up 1.0% m/m. It was also reported that the February trade balance printed at -‚¤7.3 billion. Cable bids are cited around the US$ 1.4515 level. The euro came off vis-Ã -vis the British pound as the single currency tested offers around the ‚¤0.8960 level and was capped around the ‚¤0.9085 level.
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