Sterling braced for further falls on Brexit data

Speculators are the most bearish on the pound since records began as they await data that will give the clearest picture yet of the effects of Britain’s decision to leave the EU.

Sterling touched a one-month low versus the dollar before the UK reports this week on July inflation, retail sales and jobless claims, which are forecast to show the economy is struggling in the wake of the June 23 referendum.

The pound dropped to a 31-year low against the dollar after the Brexit vote, and resumed its decline following the Bank of England’s decision to cut interest rates and boost monetary stimulus.