LONDON: Sterling fell to its lowest in 32 months against the buoyant dollar on Monday as more investors bet against the pound given contrasting fortunes of the British and US economies.
While strong US jobs numbers late last week bolstered speculation that the Federal Reserve may curtail its asset purchase programme
later this year, Britain may be set to enter its third recession in four years.
That is likely to drive the Bank of England to print more money to support the economy.
Sterling lost 0.3 percent to $1.4868 its lowest since mid-2010 - and down 8.5 percent against the dollar so far this year. Traders cited option expiries at $1.4925 which could sway trade.
The pound was also lower against the euro. The euro was up 0.3 percent against sterling at 87.37 pence.
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