UK pound ‘utterly crushed’ by Brexit, US dollar shortage and monetary policy – The National

UK pound ‘utterly crushed’ by Brexit, US dollar shortage and monetary policy – The National

Sterling risks parity with the dollar if Brexit trade negotiations are not delayed, analysts say. The UK pound has been 'utterly crushed' by the Brexit trade talks, monetary policy and a US dollar shortage amid the coronavirus outbreak, according to analysts.. Sterling fell to $1.15109 against the US dollar on Thursday at 2.55pm UAE time, a drop of 14.4 per cent from highs of $1.32 on March 9, its lowest level against the US dollar since 1985.. Either Boris will readjust his expectations and extend the deadline by at least six months - in which case we can see a rebound in the pound towards the $1.25 level, or he will stick to his end-of-year deadline, and sterling could be further dashed towards parity against the US dollar.". The UK pound began its slide downward as the Covid-19 epidemic gained pace and investors flocked towards safe-haven currencies such as the US dollar.. The dollar resumed its relentless climb against major currencies on Thursday as wild financial market volatility and worries over tightening liquidity triggered by the pandemic sparked an investor flight into cash.. It shows that investors are selling whatever they can to raise cash and this also explains why