The British pound is falling after the S&P downgraded the UK’s credit rating to AA from AAA, with a negative outlook.
The pound is down by about 3.8% at 1.3165 the dollar as of 1:43 p.m. ET.
The currency has been hit hard in the aftermath of the Brexit vote. The pound down by over 13% since Friday.
Separately, George Soros, the billionaire who earned fame by better against the pound in 1992, didn’t bet against the currency this time around.
As for the rest of the world, here’s the scoreboard:
- The Japanese yen is stronger by 0.3% at 101.91 per US dollar amid continued disarray in the markets. The yen is generally considered to be a safe-haven currency, and so investors tend to buy it when things get rocky. However, this is bad news for Japan, as a stronger yen is a big blow to the government’s plan to jump start the economy. The euro is down by 1.0% at 1.1008 against the dollar. The Chinese yuan fell to a 6-year low against the dollar after the People’s Bank of China weakened the currency’s reference rate per dollar by 0.9% to 6.6375, the steepest devaluation since last August. The Australian dollar is down by 1.7% at .7334 against the dollar following concerns over China’s currency fixing. The US dollar index is up 1.1% at 96.45 after the latest reading for Markit Economics’ flash purchasing manager’s index (PMI) held steady at 51.3 for June and the Dallas Federal Reserve’s business-activity index fell more than expected to -18.3 in June.