Pound Sterling recovered prior losses from the US Dollar and Euro overnight on Thursday after the White House announced a 90-day delay to the implementation of its new global import tariff, which could see GBP/EUR back around 1.1720 in the session ahead as GBP/USD recovers the 1.29 handle.

The British Pound fell against an unraveling US dollar and saw larger losses in many crosses on Wednesday after the Sterling bond market unraveled across the curve, driving long-term financing costs to their highest since 1998, and as Storm Rachel continued to gather over the UK economy.

Pound Sterling rose smartly against a receding US Dollar on Wednesday as the Euro, Japanese Yen and Swiss Franc each rose further against the Renminbi and greenback following the People’s Bank of China’s latest central parity fixings.

The two slight increases in the People’s Bank of China’s central parity fixes for USD/CNY on Monday and Tuesday have stoked speculation that it might be contemplating a devaluation of the Renminbi, however, the fixes for the 24 other currencies in the basket show that a devaluation is likely not on Beijing’s agenda.