The British pound rose today for the 4th straight day this year, after a losing session in the first week of the year. The BoE suggested that there may be a need to increase interest rates this year, which sparked trader interest in the currency. The Pound touched a low of 1.5895 on Jan 7 of this year, touching the high of 1.6266 so far, a new 3 week high.

The Pound rose against both the Euro and Yen, in addition to the US dollar, as the BoE was reported to have said that the central bank had done all that it could to stimulate the UK economy. Some experts believe that the current uptrend in the Cable (as well as other major GBP pairs), may touch the 1.6355 area before it falls.

Economic data coming out of the UK last month have lent more or less no clear direction to the Pound after the Manufacturing output remained unchanged, whereas industrial output rose slightly.