Euro strikes record high against British pound

0 Comments | AFP, April, 2008

LONDON (AFP) — The euro hit an all-time high against the British pound on Wednesday as the market expects the Bank of England to cut interest rates this week while its European counterpart sits tight, traders said.

One euro was worth a record high 80 pence shortly after 0700 GMT. It later stood at 0.7981 pounds, compared with 0.7979 in New York late on Tuesday.

The European single currency climbed to 1.5720 dollars from 1.5711 on Tuesday.

Against the Japanese currency, the dollar slipped to 102.37 yen from 102.53.

The Bank of England "is still odds on to cut interest rates" Thursday, said Capital Economics analyst Paul Dales.

Many economists expect the Bank of England's rate-setting monetary policy committee to cut its key lending rate by a...