Pound hovers around 31-year low

The pound sterling on Thursday continued to hover around 31-year lows in Asian trading as more UK property funds suspended withdrawals in the wake of Britain voting to exit the European Union (EU).

However, the Japanese yen was rising for a third day against the dollar as investors bought into the currency, seen as a safe haven for their money, BBC reported.

It has strengthened by nearly 5 per cent since the UK voted to exit the EU on June 24.

The renewed jitters over the fallout from the Brexit vote have also extended a rally in gold prices.

The precious metal is trading near its highest price in more than two years.

On Wednesday, UK and European stock markets fell sharply and the pound hit a fresh 31-year low as Brexit fears rattled markets.

Another three UK property funds said they were suspending trade after a surge in withdrawals following the UK's vote to leave the EU.

In Thursday's Asian trade the pound remained lower against the dollar, trading at around $1.2918.

Asian stock markets are trading mixed after the latest Federal Reserve minutes showing that prospects of an interest rate hike have diminished.

--IANS

ksk/vt