Pound on course for second weekly gain against dollar

The pound was on course for a second weekly gain against the dollar on Friday, consolidating above $1.49 as the greenback eased following a recent rally. 

The pound rose 1.8% against the dollar since the beginning of May, boosted by a hawkish Bank of England that began tapering asset purchases, as well as Britain’s vaccination programme that enabled a gradual economic recovery.

Britain delivered one of the fastest vaccination campaigns in the world, giving nearly 70% of its population a first shot and 36% a second. 

The pound gained 0.1% to $1.4066 on the dollar, off a near three-month peak of $1.4167 hit earlier in the week. Against the euro, the pound fell 0.2% to 86.15 pence. 

The British economy grew by a better-than-expected 2.1% month-on-month in March. It is forecasted to sharply recover this year, following a deep COVID-19 slump in 2020.