By Aidan Meikle

Sterling has fallen today, as risk aversion kicks in and European and US stock markets show signs of faultering.

“Stocks weren’t able to hold a rally and that left sterling under pressure,” said Naeem Wahid, currency strategist at Bank of Scotland Treasury Services. 

Upbeat German sentiment figures today didn’t help sterling’s cause, further weakening the currency.  It seems sterling is being seen increasingly as a risky currency, which means that as any sort of poor news is released investors will more funds to the US in the knowledge that if the dollar is seen as risky, then the world is doomed!!