On Tuesday the pound was higher against the U.S. dollar after a report signaling that U.K. consumer prices climbed in line with expectations last
month.
GBP/USD hit 1.5457 during European morning trade, the session high; the pair subsequently consolidated at 1.5434, adding 0.05%.
The UK's inflation rate fell to 0% in August, down from July's rate of 0.1%, the Office for National Statistics (ONS) has said.
Inflation, as measured by the Consumer Prices Index, fell due to a smaller rise in clothing prices from a year ago and cheaper fuel prices, the ONS said.
The Retail Prices Index (RPI) measure of inflation rose to 1.1% from 1.0% in July.
Prices were 0.2% higher in August than in July, but unchanged compared with August 2014.
And the core inflation rate, which strips out volatile factors such as energy and food prices, has dropped to 1% from 1.2%.
