Sterling rises as investors rethink U.S. rate-hike path after SVB collapse

[admin]

Sterling rose against a weakening dollar on Monday after the sudden collapse of U.S. tech-focused lender Silicon Valley Bank (SVB) raised expectations that the Federal Reserve will slow down the pace of its interest rate hikes. The biggest bank collapse since the 2008 financial crisis roiled markets and weakened the U.S. dollar against major peers as investors price in the possibility that the Fed will take a less aggressive monetary policy tightening path. In Britain, HSBC bought the UK arm of SVB for a symbolic one pound on Monday.