Paul Bednarczyk, a strategist at 4Cast Ltd. in London, says a lower cost debt auction by Italy is a "good sign." Bednarczyk talks with Bloomberg's Vonnie Quinn and Mark Mills on Bloomberg Radio's "Bloomberg - The First Word." (Source: Bloomberg)
The pound reached its strongest in more than three months against the euro as speculation that the British economy will be more resilient than the euro region outweighed a weaker-than-forecast U.S. employment report.
The pound rose against the dollar on bets that Prudential Plc ’s $35.5 billion takeover of American International Group Inc. ’s main Asian unit may fail, easing concern the accord will prompt outflows of the U.K. currency.
The yen and dollar fell against the Australian dollar and South African rand after reports showed China’s retail sales and industrial output increased, spurring demand for higher-yielding assets including stocks.
The euro declined against the dollar and yen as investors sold bonds from so-called peripheral European countries amid concern that faltering economies will hamper efforts to plug national budget shortfalls.