Forbes said that next likely move will be an increase in interest rates

Bank of England policy maker Kristin Forbes said the economic outlook means officials should look through current weak inflation and that the next likely move will be an increase in interest rates. “The primary reasons for low inflation today are external factors that will fade quickly,” Forbes said. “Inflation will then most likely bounce back.”

McCafferty doubts rate hike will happen before elections

Sterling is still higher after yesterday's BoE Meeting Minutes and better than forecasted UK job figures.Though BoE Meeting Minutes showed that interest rate hike could happen sooner than expected BoE member McCafferty doubts that this will happen before the election, scheduled for May. In his opinion it is better to hold rates constant for a longer time, but he confirmed that all BoE members agree next move in rates is likely to be upwards.

Fed not likely to raise interest rates in the near future

Latest FOMC Meeting Minutes showed that members are keen on keeping rates at zero "for a longer time," than wanted an earlier move, according to minutes from the January meeting released Wednesday that suggested the majority is in no real hurry to hike interest rates. "Many" on the Fed members said a premature rate hike would harm the recovery, while only "several" thought a later move would risk high inflation. The minutes show deep concern among Fed officials about dropping the guidance that it can be "patient" in hiking rates.

BoE sees raise in inflation in 2016