Pound Sets A Fresh 2005 Low Against The Dollar

Britain’s public sector borrowing number came in at GBP1.3 billion versus the GBP2.1 billion forecasted by economists. The less-than-expected number revealed that the government’s budget constraint is likely to ease up and reduce the chances of a “crowding out” effect in the economy. The good news helped the pound to gain its footing for a while but not too long.  With no US economic releases on the calendar today, the overall negative tone in the pound carried on for another session. This week, the pound set a fresh 2005 low against the dollar.