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Pound breaks losing streak as May says she will step down on 7 June

Pound breaks losing streak as May says she will step down on 7 June

The pound has snapped a long losing streak against the dollar and the euro while the FTSE 100 has recovered some ground from yesterday's losses after Theresa May said she would step down as prime minister on 7 June.

Sterling rose a third of a cent to $1.268 while the euro dipped to 88.2p, its first fall against sterling in 15 days. The UK blue-chip index climbed 52 points, or 0.7%, to 7,283, clawing back some ground after yesterday's 103-point fall.

May said she had striven to honour the result of the EU referendum and had 'done everthing' to convince MPs to back her deal. 

'Sadly I have not been able to do so,' she said. 'It is now clear to me that it is in the best interest of the UK for a new prime minister to lead that effort,' she said.

'I am today announcing that I will resign as Conservative leader on Friday 7 June. I have agreed with the party chairman that the process for electing a new leader will begin in the following week.'

May announced the date of her departure this morning after a meeting with the 1922 Committee of Conservative backbenchers.

The prime minister's ousting has been precipitated by her failure to win parliamentary backing for her Brexit deal. Plans to put a revised version of her deal to parliament for a fourth time collapsed after coming under attack from both Conservative and Labour MPs.

The FTSE 100 was meanwhile buoyed by US president Donald Trump's calming of trade war fears, as he predicted US complaints against Chinese telecommunications giant Huawei could be resolved within a broader trade framework.

Miners, sensitive to the performance of top metals consumer China's economy, led the index higher.

Anglo American (AAL) rose 1.6% to £19.32, BHP Group (BHPB) was up 1.4% at £17.82 and Antofagasta (ANTO) traded 1.4% higher at 790.2p.

Among 'small-cap' stocks, Tarsus Group (TRS) surged 37.2% after private equity firm Charterhouse made a £561 million bid for the media firm.

Mothercare (MTC) jumped 11.8% to 22.8p after higher-than-expected cost savings helped the embattled retailer slashed its net debt by 84% to £6.9 million.

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