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Reuters reports a 0.7 per cent reduction in the pound against the dollar to $1.549, after falling to $1.546 this morning - a three-week low.
The British currency had rallied earlier this week after the release of Bank of England Monetary Policy Committee minutes dashed market speculation of a decision to increase quantitative easing measures.
Speaking to the news agency, Paul Robson, currency strategist at Royal Bank of Scotland, said: "If the worries that the US economy will fall over and concerns about a global slowdown gather ground, it will be pretty negative for the UK and the pound."
The news follows comments by one Forex expert yesterday that sterling could be a safe-haven currency following a relatively strong performance during the first 100 days of coalition government.
Posted by Sara Secker
