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Forex - Sterling Falls on Reports That Theresa May Could Resign in June

Published 16/05/2019, 15:19
© Reuters.
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Investing.com - Sterling was lower on Thursday after reports that U.K. Prime Minister Theresa May will step down over the summer regardless of whether or not her Brexit withdrawal agreement passes.

Cable was down 0.4%, with GBP/USD at 1.2790 as of 10:16 AM ET (14:16 GMT).

Parliament is expected to vote on the Brexit agreement the week commencing 3 June. The Prime Minister has previously said she would step down if the plan is passed.

Boris Johnson confirmed earlier that he would run to replace May.

Meanwhile, the dollar gained after jobless claims rose less than expected.

The U.S. dollar index, which measures the greenback’s strength against a basket of six major currencies, was up 0.3% to 97.643.

Data showed that the number of people applying for unemployment benefits fell to 212,000 from the week prior, as the U.S. economy continues to be strong.

The dollar was up against the safe-haven yen, with USD/JPY rising 0.2% to 109.82.

Elsewhere, the euro slipped, with EUR/USD falling 0.2% to 1.1172 while USD/CAD was at 1.3428.

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