In the case of the drop in Asia for the pound, also known as sterling, experts said they were hard-pressed to identify a single cause. The central bank itself, however, may have little room to act, because foreign currency trading is lightly regulated. A top priority in negotiations over the withdrawal will be Britain’s power to control immigration and skirt European Union rules that allow people to move and settle across national frontiers. Trading in Asia has been lighter than usual, as China nears the end of a holiday week and Hong Kong begins its own holiday. Even under normal circumstances, trading in currencies is often lighter in Asia than in Europe or the United States.

Source: New York Times October 07, 2016 06:53 UTC