Mitsubishi UFJ analyst Lee Hardman said recent negative developments in the eurozone have increased sterling's appeal versus the euro. He noted UK fiscal concerns have pushed 10-year Gilt yields to their highest level since before the 2007 global financial crisis, but that the UK's fiscal position is not as severe as France's. Media reports say the UK government will seek in its Oct. 28 budget to reduce measures that could provoke a negative market reaction amid a challenging global bond backdro

Mitsubishi UFJ analyst Lee Hardman said recent negative developments in the eurozone have increased sterling's appeal versus the euro. He noted UK fiscal concerns have pushed 10-year Gilt yields to their highest level since before the 2007 global financial crisis, but that the UK's fiscal position is not as severe as France's. Media reports say the UK government will seek in its Oct. 28 budget to reduce measures that could provoke a negative market reaction amid a challenging global bond backdrop, which would be supportive for sterling.