Pound Slips to Lowest Since November Versus Euro on No-Deal Fear

Sinn Fein president Mary Lou McDonald

Sinn Fein president Mary Lou McDonald

The pound has continued its downward slide as fears of a no-deal Brexit continued to pile pressure on the British currency.

The pound has fallen to a fresh low this morning, taking it to the lowest level against the dollar in almost a year, as fears about a Brexit no deal linger on.

The pound slipped to the lowest level against the euro in nearly nine months amid growing concern that the United Kingdom could end up leaving the European Union with no agreement for future economic ties.

Connor Campbell, a marketing analyst at SpreadEx, said in an email on Thursday morning: "The fears of a "no deal" Brexit have really gathered steam in the last few sessions, a snowball effect stemming from Mark Carney and Liam Fox's warnings either side of the weekend".

The deadline for Britain to leave the European Union is March 2019 and the United Kingdom government has so far made little progress in agreeing on a post-Brexit trading deal with the EU.

His comments echoed those Bank of England Governor Mark Carney last week.

Michael Hewson, chief market analyst at CMC, said: "Whether you believe such a scenario is likely or not, such is the incompetence of this Government, as well as its Opposition, investors would be foolhardy not to take some steps to hedge against such an outcome".

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