Sterling continues to slide

The Pound fell by more than two cents against the dollar yesterday, a significant fall based on normal daily trends, after the Bank of England indicated that interest rates would not be raised to prevent a period of inflation. Traders were particularly concerned about the leaked government papers, indicating that GDP could fall as much as 9.5% if the UK leaves the single market. Consumers are expected to be hit hard by the fall in Sterling – British fuel prices rose yesterday to the highest level in more than a year, with unleaded petrol surging to 112.35 pence a litre. Meanwhile, the FTSE 100 continued to perform well, largely attributable to the overseas profits made in foreign currency.