Sterling languished just off four-month lows on Tuesday, with the outcome of last week’s European election seen possibly emboldening proponents of a no-deal Brexit as the battle to succeed Prime Minister Theresa May got underway.
With the Brexit Party handing the ruling Conservatives a drubbing in last week's European elections, many of the candidates vying for May’s job are under pressure to deliver a more decisive break with the EU when Britain is scheduled to leave the bloc on Oct. 31.
May said last week she would step down on June 7.
The British currency slipped 0.01% to $1.2678, having traded as low as $1.2605 last week. It was likewise flat versus the euro at 88.195 pence to stand just off four-month lows.
Source : Reuters