Odds of sterling hitting parity with dollar jump, as analysts say UK bond market ‘getting smoked’ by giveaway
The pound has hit an all-time low after the bonanza of tax cuts and spending measures in Kwasi Kwarteng’s mini-budget threatened to undermine confidence in the UK.
The pound plunged nearly 5% at one point to $1.0327, breaking below 1985 lows as belief in Britain’s economic management and assets evaporated. Even after stumbling back to $1.05, the currency was down 7% in two sessions.