sterling

Investec Asset Management, which runs $5.3bn in active currency funds, has warned the dollar could face a sharp correction this year due to reluctance in the US to embrace fiscal tightening.

Betting against sterling has fallen significantly since the emergency Budget, with hedge funds and speculators closing short positions.

Sterling has strengthened against the US dollar and euro on the back of today's emergency Budget, while gilts have also bounced.

UK stocks have tumbled sharply this morning after Fitch labelled Britain's fiscal challenge as "formidable".

Schroders' Andy Brough believes an eventual collapse of the euro would not be the Doomsday event many fear and could be the best scenario for many nations on the Continent.

Investec Asset Management, which runs over $4bn in active currency funds, believes sterling is the cheapest of all major global currencies.

Miton manager Martin Gray shares his thoughts on the currency markets and why UK interest rate rises are more likely to come in years, not months.

Speculators increased bets against sterling to record levels even after the formation of the new coalition Government, as worries escalated over the health of the UK finances.

British factory production surged ahead at a rate five times faster than expected in March as the weak pound helped revitalise Britain's export trade.

British factory production has surged ahead at a rate five times faster than expected in March as the weak pound helped revitalise Britain's export trade.