UK Inflation Rises, Fed Rate Decision Looms

The UK's inflation rate rose to 3.1% in August, its highest level since March, but this had little impact on the pound's value against the US dollar.

UK drivers are facing the most expensive petrol costs since 2022, and BoE Governor Andrew Bailey has warned of new risks from challenging domestic weather and Super El Niño.

The Federal Reserve is expected to raise interest rates by 25 basis points at its rate decision today, but this move is largely priced in and may not have a significant impact on the dollar's value.