Political worries keep pound under pressure - the papers

The pound remained under pressure after hitting a ninth-month low against the dollar yesterday as the prospect of a hung Parliament heightened fears of a delay in reducing Britain's public debts.

Having rallied last night and momentarily moved back above $1.50, sterling fell again in early trading today, at one stage hitting $1.4853 - only half a cent above the nine-month low of $1.4784 that it reached yesterday reports The Times. Analysts warn that with political uncertainty likely to continue, the pound could weaken further in coming weeks, possibly sinking to $1.20 or less by the summer. Read more...