Pound Rallies Amid Yen Strength and Easing Oil Prices

The pound has rebounded from its three-week low as the yen strengthened and oil prices eased. The sterling gained 0.1% to $1.35 after touching $1.348 on Wednesday, its weakest level in three weeks.

The renewed tensions between the United States and Iran boosted demand for the safe-haven dollar, but the dollar came under broader pressure as the yen rallied sharply. Analysts attributed the yen's rally to growing expectations that the Bank of Japan could raise interest rates.

Marc Haefele, chief investment officer at UBS Global Wealth Management, described sterling as an attractive investment option, citing confidence in UK assets strengthening and investors unwinding their bets against the pound.