August 12, 2019
The pound fell to a 10-year low against the euro overnight amid concerns surrounding a no-deal Brexit.
Pound To Euro Exchange Rate Hits 10-Year Low Amid Fears Around No-Deal Brexit
The currency plunged to 93.26 pence against the euro in the late hours of Sunday, the lowest it has been since October 2009, when the financial crisis gripped Britain.
The pound also fell to a 31-month low of $1.2015 versus the US dollar, Reuters reported.
In a positive upturn, sterling rose by 0.5% against the euro at 92.61 pence by Monday morning as renewed concern over Italian politics took the euro down against most major currencies; the Italian Deputy Prime Minister Matteo Salvini threatened to bring down the coalition government saying he has lost faith in it.
The pound was also higher by 0.3% against the dollar and last at $1.2062 while the euro was down by 0.2% at $1.1175 and by 0.6% at 117.63 against the Japanese yen.
The currency’s fall on Sunday is thought to have affected some Britons heading abroad for the summer holidays who face receiving less value when exchanging spending money.
“A significant compression of UK yields and Brexit undertones” are why the pound dropped against the euro, said Kamal Sharma, forex strategist at Bank of America Merrill Lynch.
This is a “natural breeding ground for sterling losses,” he said, a “double whammy effect.”
Reuters reported that low liquidity and media reports that Ireland would not renegotiate the Brexit backstop at a meeting with UK Prime Minister Boris Johnson later this month also weakened sterling, analysts said.
This is thought to have worsened fears Britain would crash out of the European Union with no-deal in place in October.
Johnson has accepted an offer to meet Irish leader Leo Varadkar to discuss Brexit and the Northern Irish backstop; a meeting could take place before a G7 summit in France later in August.
The backstop, part of the withdrawal agreement that former Prime Minister Theresa May struck in November, is a crucial part of negotiations that will see an orderly British exit from the EU.  
A report by the Institute for Government think tank, published on Sunday, said “time is running out” for MPs who oppose a no-deal Brexit to prevent the government from pulling the UK out of the EU without a deal at the end of October.
“The combination of a slowing economy, global economic weakness, the increasing chance of a cut to interest rates and the risk of a No-deal Brexit will continue to anchor sterling,” Neil Wilson, chief market analyst at Markets.com, said in a note.
“No-deal talk is the biggest concern - remove that and we get a big bounce even with the economic and monetary risks”.Related... The Pound Slumps Again – Here Are 4 Travel Money Hacks To Help The Pound To Euro Exchange Rate Just Plunged As Hard Brexit Looms
Related Stories
Latest News
Top news around the world
Coronavirus Disease

Coronavirus disease (COVID-19) is an infectious disease caused by a newly discovered coronavirus.

Most people infected with the COVID-19 virus will experience mild to moderate respiratory illness and recover without requiring special treatment. Older people, and those with underlying medical problems like cardiovascular disease, diabetes, chronic respiratory disease, and cancer are more likely to develop serious illness.

Around the World

Celebrity News

> Latest News in Media

Watch It
Rihanna's New Music, "Tiger King"-Themed Party & More | E! News
March 27, 2020
hsjZHehcjDk
BTS Reschedules Map of the Soul 7 North American Tour | E! News
March 27, 2020
XpKK7uNpAMw
Meghan Markle & Prince Harry Leave Canada for Los Angeles | E! News
March 27, 2020
Ww9xUtO1wEo
Tyler Cameron and Hannah Brown’s TikToks hint at romance | Page Six Celebrity News
March 27, 2020
gkwXOYkNxNA
From ‘Queer Eye’ to ‘RuPaul’s Drag Race’: Carson Kressley Gives Exclusive Fashion Advice | Page Six
March 26, 2020
AiydbIWq4Z0
‘Catastrophe' sex scene will rip your pantyhose | Steamy and Streamy | Decider After Dark | Page Six
March 25, 2020
9ATO0kfRLkE
'Awkwafina Is Nora From Queens' Star BD Wong on the Season 1 Finale
March 26, 2020
I376jQsGfI0
Sterling K. Brown on the 'This Is Us' Season 4 Finale and Randall's Mental Health Journey
March 24, 2020
TYK7IlgWDRU
Bob Odenkirk Teases the End of 'Better Call Saul' and What Happens Before 'Breaking Bad'
March 24, 2020
-0cfJSUPWEY
Drew Brees Wants $5 Million Donation To Put People's Minds at Ease | TMZ
March 28, 2020
705C-GYWxgc
Criss Angel Says It's Eerie to See Vegas Look Like a Ghost Town | TMZ
March 27, 2020
1CTwK7QJxck
'Project Runway' Star Michael Costello Converts Factory to Produce Masks | TMZ
March 27, 2020
4in0LAg2fIs
TV Schedule
Late Night Show
Watch the latest shows of U.S. top comedians

Sports

Latest sport results, news, videos, interviews and comments
Latest Events
08
Mar
ITALY: Serie A
Juventus - Inter Milan
08
Mar
ENGLAND: Premier League
Manchester United - Manchester City
08
Mar
ENGLAND: Premier League
Chelsea - Everton
08
Mar
SPAIN: La Liga
Real Betis - Real Madrid
08
Mar
ITALY: Serie A
AC Milan - Genoa
07
Mar
ENGLAND: Premier League
Burnley - Tottenham Hotspur
07
Mar
ENGLAND: Premier League
Arsenal - West Ham United
07
Mar
SPAIN: La Liga
Barcelona - Real Sociedad
07
Mar
SPAIN: La Liga
Atletico Madrid - Sevilla
Find us on Instagram
at @feedimo to stay up to date with the latest.
Featured Video You Might Like
W3y9zuI_F64 -7qCxIccihU pQ9gcOoH9R8 g5MRDEXRk4k tudKp5Vhs3k iwWHibhssSo kQr0XHPbICM 5NeCb7JxaRk u5xQKdNqazE 56CdjlzJqSA kw7uFRs-Az0 xNv0JZWLV7w
Copyright © 2020 Feedimo. All Rights Reserved.