Sterling Holds Ground Ahead of BoE and Fed Rate Decisions

The British pound held steady around $1.35 on Wednesday ahead of key interest rate decisions from both the Bank of England and the US Federal Reserve.

UK inflation data released earlier in the day showed an annual increase of 3.1% in August, matching expectations, primarily driven by higher fuel costs.

Core Consumer Price Index (CPI), which strips out volatile components, remained unchanged at 2.6%, while services inflation came in slightly below forecasts at 3.4%.