A stronger pound is good news for businesses and consumers and could help lower inflation as importing goods, such as food and petrol, becomes cheaper.
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The pound reached a four-month high against the dollar as hopes raised that Chinese lockdowns would ease and American interest rates increases would slow. One pound could buy nearly $1.23 on Thursday afternoon, the highest amount since 1 August, making imports cheaper for UK companies and consumers. The £1 to $1.2297 foreign exchange rate signalled a weakened dollar as only last week a dip in the US currency allowed for a
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