Pound dives below $1.29 for first time in a year

By Abid Ali, business reporter
The pound has fallen to its lowest level in almost a year amid continuing concerns that the UK will leave the European Union without a deal. 
Sterling slid 0.4% to $1.2894 at around midday - its lowest level since 31 August 2017. The currency also hit a new low for the year against the euro, trading at €1.1135.
The pound went on to end the day even lower at $1.2878, and €1.1107 respectively.Viraj Patel, a currency strategist at ING, tweeted: "Sterling unraveling now against both the dollar and euro. Independent weakness is evidence of no-deal Brexit risks being priced in."
Sterling unravelling now against both the $USD and $EUR. Independent weakness is evidence of no-deal #Brexit risks being priced in. We think peak no-deal risks takes $GBPUSD to 1.27-1.28 in 3Q18... hard to fight that given signs of a bearish trend channel. Next stop 1.2850/60— Viraj Patel (@VPatelFX) August 8, 2018
Liam Fox, the international trade secretary and prominent Brexiteer, kicked off the currency's slide earlier this week after he put the odds of the UK leaving the EU without a deal at "60-40".
Dr Fox's comments come after the governor of the Bank of England warned the risk of the UK leaving the EU without a deal was "uncomfortably high".
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Pound dives below $1.29 for first time in a year

Liam Fox: EU pushing Britain towards no-deal Brexit
International Trade Secretary Liam Fox has said "intransigence" from the European Union is pushing Britain towards a no-deal Brexit.

With less than eight months to go before the UK exits the bloc, sterling is under pressure as traders hedge against the prospect of a no deal."A lot of companies can't wait for the [Brexit] negotiations outcome in October so a lot, of course, are trying to hedge against drop in the pound," said Christophe Barraud, an economist at Market Securities brokerage in Paris.
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