Sterling pared its advance versus the dollar as Brown said he’s willing to resign as Labour leader so negotiations on a formal coalition government with Clegg’s party can progress. David Cameron’s Conservative Party has pledged to cut the U.K.’s record budget deficit faster than its rivals. William Hague, the former Conservative leader, said earlier today that talks with the Liberal Democrats were going well.
This just shows that we have ongoing political indecision,” said Jeremy Strech, a senior currency strategist at Rabobank International in London. “Uncertainty is continuing to be the driving force and we know investors don’t like that.
The U.K. currency was up 0.4 percent to $1.4860 after surging 1.7 percent to $1.5054.The pound gained 0.3 percent against the dollar .