Sterling edged lower on Wednesday after climbing to a new six-week high on hopes for a last-minute Brexit deal, while investors turned their attention to the Bank of England meeting on Thursday.

The pound fell 0.2% in early European trade to $1.2476, but that followed a decent gain on Tuesday to $1.2528 on the back of optimism that Prime Minister Boris Johnson was trying to secure a Brexit deal with the European Union before the Oct. 31 deadline.

Investors have been reassured by British lawmakers voting to block a no-deal Brexit on Oct. 31, helping sterling to rally strongly over the past week.

Against the euro sterling was unchanged at 88.585 pence.

Source : Reuters