Sterling rallied this morning after the minutes of the last Bank of England meeting revealed that all nine members of the MPC voted to keep the central bank' asset purchase programme on hold at £175bn. It was the revelation that three members voted for a larger increase at last month's meeting that helped send the pound sharply lower. This morning's news has provided some relief to the pound, although it's too early to say whether this signals a sustainable reversal in the market. In other news, mortgage approvals were slightly lower in August from a month earlier, but up 81% from the same time last year.

Meanwhile, the Swiss Franc has been gaining against the pound since early August, and edging higher against the Euro despite signals from the Swiss National Bank that they would intervene to stop the currency rising further against the Euro.

This morning's bounce comes just ahead of some key technical levels, namely, the April and May lows around 1.6650. This is encouraging price action, but it's too soon to call it a decisive reversal. For that to happen we would like to see at least two days of strong gains from here.