(RTTNews) - During early European deals on Monday, the British pound climbed against most major currencies on strong equities. The pound thus recovered from an Asian session's 12-day low against the euro.
European stocks soared in early trade as a bailout of debt-ravaged Ireland boosted sentiment.
The Republic of Ireland has confirmed that it has requested for a major financial rescue package from the European Union and the International Monetary Fund to repair the country's public finances, ending weeks of speculation.
Prime Minister Brian Cowen announced on Sunday evening that a formal process of negotiation will now begin towards finalizing the rescue package. He explained that the deal will involve restructuring Ireland's banking system and reducing the budget deficit to under 3% of output by 2014. However, the terms of the loan package would be finalized after further meetings between his government officials and representatives of the two lenders.
U.K.'s benchmark FTSE 100 index is currently trading at 5,755.73 - up 22.44 points or 0.4% over its previous close.
The British pound advanced against the currencies of U.S. and Japan in early European deals on Monday. As of now, the pound is worth 134.14 against the yen and 1.6079 against the dollar, up from Friday's close of 133.40 and 1.5986, respectively. If the pound climbs further, it may likely target 134.3 against the yen and 1.610 against the dollar.
In early European deals on Monday, the pound recovered from an Asian session's 12-day low of 0.8598 against the euro. At present, the pound is worth 0.8550 against the euro, compared to Friday's close of 0.8560.
Looking ahead, the Eurozone consumer confidence data for November is slated for release at 10:00 am ET.
