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This morning, the pound increased by 0.64 per cent against the dollar at $1.5459, a contrast to the $1.5296 it struck yesterday, Reuters reports.
It was helped out by Vodafone's disposal of its minority stake in China Mobile which caused investors to unwind their positions, the news provider noted.
One trader at a British bank pointed out that there was short squeeze in the pound after the mobile phone company's news.
But the dealer added: "It does not look too good for sterling as stock markets are not performing too well and the data, though encouraging, is on the softer side."
Yesterday, the currency started its recovery after a six-week low against the euro, which declined by 0.7 per cent to 83.05 pence - and this led Ian Stannard, senior currency strategist at BNP Paribas, to declare that the focus was on Europe, Reuters reported.
Posted by Chris Weaver
