Pound gains against the dollar
Sterling surges as government moves to sell bank stakes
The pound has gained two cents against the dollar in early morning trading after news that the UK government is in talks with investors to sell stakes in part-nationalised banks, says London foreign exchange trader Currencies Direct.
Mark O’Sullivan, director of dealing at Currencies Direct, says, ‘Following talks that the UK government may look to sell off some of its debt obligations with the UK banks, sterling has surged overnight and is up two cents against the dollar at $1.5465.
‘The ongoing stock market rally is also a positive for sterling and we are now seeing the pound trade at a level that has not been seen since December 2008 – a long way from the lows of $1.34 to the pound back in January.’
He adds, ‘There is no doubt that the UK economy is still in a bad way, but currency markets are taking the view that sterling will outperform both the dollar and the euro going forward, especially when you take into consideration the economic numbers coming out of Europe, which still indicate a long, prolonged slump in the euro zone.’
Advertisement
Latest news
Second oil rig explosion in Gulf of Mexico 2 September 2010
US oil exploration company Mariner Energy saw its share price drop on Thursday as reports began to surface of an explosion on another oil rig in the Gulf of Mexico.
- Market update (PM): Hedge fund Man Group grows on upgrade 2 September 2010
- Market update (AM): M&A rumours lift Autonomy 2 September 2010
- Market update (PM): Cable & Wireless leads as FTSE 100 lifted by positive data 1 September 2010
Recommendations
Top Ten Life Funds
| Fund | Offer | 1y | 3y | 5y |
|---|---|---|---|---|
| UBS Life Structured Credit A | 94.15 | 174.5 | n/a | n/a |
| Skandia Finland FIM Russia | 11.29 | 60.6 | -2.7 | 48.5 |
| Skandia Finland Alfred Berg Ryssland | 0.86 | 49.5 | -18.0 | n/a |
| Skandia Finland BlackRock Gold & General | 2.57 | 45.6 | 41.3 | 150.3 |
| Zurich American Property AL G4 | 43.30 | 44.7 | 20.9 | 39.3 |
| Skandia Norway Alfred Berg Ryssland | 0.87 | 41.2 | -16.8 | n/a |
| Aviva Investec Global Gold S4 | 0.00 | 41.0 | n/a | n/a |
| Skandia Finland JPM New European | 2.07 | 40.7 | -13.2 | 44.6 |
| Skandia Finland First State Greater China Growth | 1.35 | 40.0 | n/a | n/a |
| Skandia Finland Neptune Russia & Greater Russia | 1.49 | 39.8 | n/a | n/a |
Share dealing in depth
Top ten trades: Wednesday 1 September 2010
2 September 2010
Top ten trades: Wednesday 1 September 2010
- Top ten trades: Wednesday 1 September (until noon) 1 September 2010
- Top ten trades: Tuesday 31 August 2010 1 September 2010
- Top ten trades: Tuesday 31 August 2010 (until noon) 31 August 2010
Guides
WI Trader: A beginner's guide to CFDs 25 June 2010
With retail investors being offered more sophisticated ways to trade than ever before, Joe McGrath weighs up whether the risks and costs of CFDs are worthwhile. [Locked content]
- US Sector View: Time to Move 5 May 2010
- Learn to invest in the company of friends 27 April 2010
- Sterling is in for a rough ride 9 March 2010
Special Offers
- Annual report service
Free access to annual reports and other information
on selected companies



