Rien! schreef:
Sterling rises on speculation Pru takeover is off
Tue, 1 Jun 2010 11:33:00 GMT
LONDON, June 1 (Reuters) - Sterling rallied against the dollar on Tuesday, shedding earlier losses after speculation that Prudential would soon announce that it would abandon its takeover bid for AIG's Asian unit.
The pound GBP=D4 climbed to the day's high of $1.4590 from around $1.4500 as traders cited reports that an announcement was imminent from the UK's largest insurer. It traded more than 0.3 percent higher on the day, recovering from an earlier slide to $1.4439.
Such speculation helped to drive the euro EURGBP=D4 down to 83.35 pence, its weakest since December 2008.
"Sterling is being driven higher by expectations that AIG won't accept a lower offer from Prudential and that the deal could be off," said Neil Mellor, currency strategist at BNYM.