Friday 6 September 2019 9:35 am

Sterling falls back to $1.23 as investors remain cautious ahead of US jobs data release

Sterling was down against both the dollar and euro in early morning trading as traders await the US non-farm payroll report and key US jobs data.

The pound was down by 0.21 per cent against the dollar at 1.229 and against the euro, sterling was behind by 0.35 per cent at 1.113.

Read more: Sterling rallies against the dollar to pass $1.23 as Boris grapples with Brexit

It comes a day after sterling bounced back to a five-week high on Thursday with investors buoyed by the decreased likelihood of a no-deal Brexit.

The House of Commons voted in favour of blocking a no-deal Brexit on Wednesday, while Prime Minister Boris Johnson lost a vote to hold an early general election.

However, both the FTSE 100 and 250 were also down this morning, with losses led by oil majors and drinks giant Diageo after a double rating downgrade.

Investors were also cautious ahead of the release of key US jobs data that would give an indication as to the health of the world’s biggest economy.

Read more: UK house prices rose by 1.8 per cent in August finds Halifax

The FTSE 100 index was down by 0.08 per cent or, 5.5 points, to 7,265.71, while the FTSE 250 midcap was down by 0.10 per cent, or 18.8 points, to 19,629.97.

Building materials supplier SIG fell nearly 7% after cautious comments on construction activity