14 Sep 2017 - 0:09
Sterling slips from 1-year high
London: The FTSE 100 recouped most of its losses at the close yesterday, as sterling gradually came off a one-year high which had hit Britain’s top share index during the morning session.
The FTSE 100, edged down 0.28 percent at 7,379 points after hitting a low of 7,336 points at the beginning of the session, as the British currency briefly surged to $1.3329.
While UK unemployment is at its lowest since 1974, wages are being dented by inflation, meaning the Bank of England will tread carefully on Thursday with any signals about when it may finally raise interest rates.
The pound’s slump in the aftermath of Britain’s vote to leave the European Union in June 2016 prompted a rally in the FTSE 100’s predominantly dollar-earning constituents, which got an accounting boost when converting revenues back to pounds.