The pound retreated slightly as the momentum of last week's gains weakened. Monex Europe analysts pointed out in a report that the pound was one of the best performing currencies last week. Improved risk sentiment and the weakening dollar overshadowed market concerns about the sharp fiscal austerity in the UK's budget last month. “We are reminded that if the global environment deteriorates or the market refocuses on the UK's own challenges, the recent strength of the pound may appear weak.” The pound fell 0.1% to 1.3328, after hitting a six-week high of $1.3385 last Thursday, according to LSEG data.

The pound retreated slightly as the momentum of last week's gains weakened. Monex Europe analysts pointed out in a report that the pound was one of the best performing currencies last week. Improved risk sentiment and the weakening dollar overshadowed market concerns about the sharp fiscal austerity in the UK's budget last month. “We are reminded that if the global environment deteriorates or the market refocuses on the UK's own challenges, the recent strength of the pound may appear weak.” The pound fell 0.1% to 1.3328, after hitting a six-week high of $1.3385 last Thursday, according to LSEG data.