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As expected, the Bank of England raised its key rate by 25 basis points to 4.25 percent from 4 percent. Following the decision, the pound rose against its major counterparts.
The pound was trading at 1.2299 against the greenback, 161.51 against the yen, 1.1280 against the franc and 0.8836 against the euro around 8:04 am ET.
