Sterling approached $1.33 at the end of September after recovering from a three-month low of $1.32 earlier in the week. The rebound followed stronger-than-expected UK GDP data and comments from Prime Minister Andy Burnham about the UK-EU relationship. Despite the recovery, the pound lost 2% against the dollar during September as markets expected the Bank of England (UK central bank) to lag the Federal Reserve in tightening monetary policy. Burnham opened the door to potentially rejoining the EU after the next general election and pledged to set out options for closer ties later this year. Revised figures showed UK GDP grew 0.5% in the second quarter, up from an earlier estimate of 0.4%. Bank of England policymakers offered mixed signals: Alan Taylor played down the need for rate increases to address the energy shock, while Governor Andrew Bailey and other Monetary Policy Committee members said they could support higher rates if inflationary pressures persist. In the United States, markets reduced expectations for an October Federal Reserve rate increase after Fed's John Williams said there was time to assess incoming data before raising rates again.