The pound fell nearly half a percent on Monday as concern revived that Britain will struggle to secure a deal on the terms of its departure from the European Union.
The pound fell to a three-year low below $1.20 earlier this month, then soared more than 4%. Most of the gains came last week, after parliament voted to force Prime Minister Boris Johnson to seek an extension to the current Oct. 31 deadline for leaving the EU if no agreement has been reached.
On Monday, the pound fell 0.4% to 1.2448 after briefly popping above $1.25 in early Asian trading, its highest in nearly two months. It weakened by a similar amount against the euro to 88.55 pence.