FX Week

Sterling unlikely to breach $2

None of the banks polled by FX Week anticipate cable breaching $2, but all said that they see the dollar weakening against the pound further this year and in the first quarter of 2005.

Zahra Ward-Murphy, debt research analyst at Dresdner Kleinwort Wasserstein in London, said sterling is likely to peak at 1.95 before it slowly begins to correct itself. An analyst at Rabobank said the looming cut in interest rates combined with a slowdown in the housing market could hit the economy, meaning st

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