Sterling was lower on Friday, undermined by weak public debt figures

The pound fell to a one-week low against the euro on Friday as it slid further in the wake of data on Thursday showing UK public finances deteriorated almost twice as fast as expected last month.

• The data resurfaced concerns that record debt levels could threaten the UK's triple-A debt rating, dampening demand for the pound.
  
• The euro was also under broad pressure on Friday as rising risk aversion kept higher-yielding currencies on the back foot. Consequently sterling stemmed is losses against the single currency, finding support at 1.1100
  
• In trading this morning, the pound has lost further ground as bearish sentiment remains built up in following last week's data.
  
• Currently the pound is trading 0.3% down and has dropped back below the 1.1100 level.