Sterling faces ‘choppy’ trade on Theresa May leadership

Sterling slid for a second day as the markets weighed up the potential Tory challengers to UK Prime Minister Theresa May’s leadership and warned of more “choppy” times ahead.

Sterling fell 0.5% against the dollar to $1.305, and the euro gained 0.6% to 89.8 pence as rumours swirled at one stage about Ms May’s imminent resignation.

A weaker currency boosted some UK shares.