Pound Breaks Above $1.86
The US Dollar weakened against the sterling and the Euro Tuesday on the back of the US government's proposed $700 billion injection to bailout struggling financial companies.
"There is a growing feeling that $700 billion is just the start and that they would need to put in more to further stabilize the market." said one dealer.
The Euro gained in strength, posting its largest gains this year. Yesterday's huge rally in oil also helped the single currency. At 12 noon London time the euro was $1.4766.
Sterling is stronger on the news coming out of the US despite weak data coming out of the property market. Sterling went through $1.86 to a high of 1.8633 and is currently at $1.8555.
"There is a growing feeling that $700 billion is just the start and that they would need to put in more to further stabilize the market." said one dealer.
The Euro gained in strength, posting its largest gains this year. Yesterday's huge rally in oil also helped the single currency. At 12 noon London time the euro was $1.4766.
Sterling is stronger on the news coming out of the US despite weak data coming out of the property market. Sterling went through $1.86 to a high of 1.8633 and is currently at $1.8555.
