In matters related to the pound, all attention is focused on the disturbing events in Ireland and the potential spread of infection throughout Europe. Although the pound, of course, not the euro, British borrowing Ireland is very important (about 149 billion pounds), and Britain's economy is very dependent on well-being of Europe. Thus, while the pound ahead of the euro over the last month, he was not chasing a single currency for the past week. Despite this last remark, it would be surprising if the pound is not ahead of euro in debt spread of infection in Europe. Nevertheless, the pound is losing ground in conditions of greater preference for the dollar and Swiss franc against the backdrop of risk aversion, which is the main driver of capital flows.
Translate this page
