Sterling rallies but remains the 'world's most volatile major currency'

“It’s been some rollercoaster ride for the pound this week,” said Viraj Patel, strategist at Vanda Research.

“Sterling remains vulnerable,” said Gareth Gettinby, an investment manager at Aegon Asset Management.

The pound is poised to end the week as the world’s most volatile major currency, whipsawed by the UK government’s radical fiscal plans and the Bank of England’s effort to stave off market panic.

The turbulence has pushed a gauge of its historical volatility this week, the most among major currencies tracked by Bloomberg, eclipsing the level on notoriously skittish peers such as the Norwegian krone and Brazilian real.