The pound was under serious pressure today before regaining lost ground to finish higher late in the European session.
At 6.59pm (GMT) the British currency was trading at US$1.4279 after falling as low as US$1.4131c earlier in the trading session.
The world’s biggest oil producers met in Doha on Sunday to try and hammer out an oil deal that would see production frozen in order to stabilize the oil price.
A deal failed to emerge after Iran refused to cut production until their output levels reached pre sanction levels which many predicted won’t happen anytime soon.
At the opening bell on Monday Oil plummeted nearly 7 percent taking down most currencies against the US dollar.
Then in an about turn the pound regained momentum and then some, to finish the European session higher as oil pared some of its losses to around 3 percent.
The latest volatility in the pound is to be expected in the lead up to the Brexit vote with another government minister warning of dire consequences should Britain decide to leave.
“Britain would be permanently poorer if we left the EU,” Noted George Osborne from the conservative party.
“Under any alternative we’d trade less, we’d do less business, there would be less investment and the price would be paid by British families.” He added.
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