The pound was boosted yesterday following Boris Johnson’s announcement that he will resign from his position as prime minister of the UK. Sterling jumped by over 1% against the euro and by over 0.5% against the dollar in the aftermath.
Following his resignation, which Johnson blamed on “herd instinct”, several Tory MPs have launched a leadership bid to replace him. UK businesses have called for stability, urging that the “political vacuum” needs “to be filled at speed to protect people’s living standards”.
Worsening risk sentiment is weighing on the euro and strengthening the dollar. All eyes will now be on today’s US non-farm payrolls which will give a good indication of how the American job market and economy are faring.
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