Sterling comes off year low versus dollar

The pound rebounded today after falling to a year low versus the US dollar yesterday in the wake of the Fed's latest stimulus measures.

The pound was up 0.5% higher on the day at $1.544 mid-afternoon, having fallen to a year low of $1.534 yesterday, its lowest level since last September. The dollar rallied earlier this week after the Fed decided against further quantitative easing to tackle the economic crisis. Instead it opted to purchase long-dated treasuries, exchanging them for short-dated securities which it is selling into the market. While markets tanked in reaction, the greenback strengthened as the Fed ruled out printing more money. The dollar also hit a seven-month peak against the euro this week in re...