GBP/USD Pauses After Fed and BoE Decisions

The GBP/USD pair has stabilized after the Federal Reserve and Bank of England (BoE) interest rate decisions. The Fed hiked rates by 0.25% to between 3.75% and 4%, while the BoE left rates unchanged.

Economists expect the bank to hike again this year, with most seeing it happening in December. Inflation remains above the 2% target due to rising energy prices, averaging $6.5 for diesel and $4.4687 for gasoline.

The BoE may raise rates in its next meeting as inflation is above the target, standing at 3.1% in August. The country's jobs market remains strong, but retail sales rose despite the rising inflation.