British pound lingers around a one-month low against the dollar following a 1% plunge in the previous session. GBP/USD is currently quoting at $1.3375, down marginally on the day. Yesterday, the counter tumbled around 1% as UK's 30-year gilt climbed to their highest level in nearly 3 decades. UK's thirty-year gilt yields touched a peak of 5.680%, up about four basis points on the day, their highest since May 1998 over concerns of a widening UK budget deficit due to UK Chancellor Rachel Reeves' decision to increase borrowing in last year's budget, in turn increasing the 'risk premium' on longer-term gilts because of uncertainty over its rising debts. The Bank of England (BoE) Sarah Breeden is set to speak later on Wednesday. However, dollar pared yesterday's gains ahead of US non-farm payroll due later this week for further cues on Federal interest rate stance. A dovish tone from the US Federal Reserve (Fed) is keeping expectations for a rate cut intact and weighing on the greenback. On the NSE, GBP/INR futures are down 0.16% to 118.03.
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