The pound fell by as much as 1 per cent versus the dollar on Monday, as doubts intensified over Prime Minister Theresa May’s ability to win parliamentary support for a Brexit deal she is trying to negotiate with the EU. Risk“For the pound it’s all about Brexit. Yields“Today’s greater drop in gilt yields does in part reflect more Brexit angst,” said Howard Cunningham, fixed income portfolio manager at Newton Investment Management. The FTSE 100 was down 0.4 per cent in afternoon trade, as those blue-chip companies with earnings in dollars benefited. The Europe-wide Stoxx 600 was weaker by 0.6 per cent,Sterling’s ability to hold the $1.30 level has looked dependent on investors’ confidence in the prospects of a Brexit deal being struck.

Source: The Irish Times November 12, 2018 16:07 UTC