Archived IMT (2009.01.21)

GBP LIFELINE ? European officials are starting to voice concerns about the falling pound and chatter circulates about a possible mention of the weak GBP in next month's G7 meeting, a venue that until last Spring was a popular speculation gathering on the issue of dollar weakness. Expect more GBP volatility ahead as the chorus of remarks from German and French officials addresses the need to stem GBP weakness. But what do UK officials think? So far, UK Treasury officials have exhibited an approving silence of the weak currency as it is the only silver lining of the UK recession.