By: DailyForex.com
The Pound Sterling slipped versus the US Dollar on growing concerns that the United Kingdom could leave the European Union. Only last week, David Cameron, the UK’s Prime Minister, worked out a deal which appeared to ensure that the UK would remain within the Euro area, however the London Mayor recently added his voice to other Conservative party members have called for a “Brexit.” For FX traders, that was enough to put pressure on the Pound Sterling which is now on track to hit an 11-month trough against the greenback.
As reported at 10:50 am (GMT) in London, the GBP/USD was trading at $1.4169, down 0.95%; the pair has ranged from a session low of $1.4151 to a peak of $1.4299. The EUR/GBP was 0.31% higher at .7806 Pence, with today’s range at .7769 Pence to .7837 Pence.
London Mayor Adds His Voice to Calls for Brexit
Currency strategists say that the crowd in favor of the “Brexit” had been hoping to get a “name” to join them. The inclusion of the Mayor of London, Boris Johnson, has given them a chance to acquire the spotlight ahead of the public referendum. Analysts feel that there is a genuine concern that the UK might pull out which has left the Pound Sterling in a state of volatility and uncertainty.