GBP Falls Below Long-Run Average After Fed Rate Hike

The UK Pound has fallen below its long-term average against the US Dollar after the Federal Reserve raised interest rates by a quarter point to 3.75-4.00%, surpassing Britain's rate for the first time this year.

The Fed's decision, which was unanimous with a vote of 12-0, has put downward pressure on the Pound, causing it to drop below its 200-day average of around 1.3400.

The Bank of England is scheduled to meet on Thursday and is expected to hold interest rates at 3.75% despite increasing economic uncertainty, with a vote forecast at six to hold and three to raise.