Following the resignation of Liz Truss the pound shot up and sterling hit $1.13 which comes after a month of economic uncertainty.
The pound fell back and hit 0.4% which was higher before Truss’ resignation at $1.126 and the gilt and government bonds eased.
Bloomberg said in a damning statement, “Truss has made the most turbulent debut of any British Prime Minister in peacetime.
“In just three weeks, her administration has been battered by a crisis of confidence in her policies that have triggered a collapse in the pound and a surge in borrowing costs that threaten to push the UK toward a deep recession and a housing market crash.”
Markets.com’s Neil Wilson said the pound’s “kneejerk verdict was damning.”
Wilson was quoted by Reuters, said,“But the initial reaction seemed very appropriate as the market has acted as judge, jury and executioner for the Truss regime.”