The British pound sterling plunged to a fresh 37-year low against the American dollar on Wednesday, continuing the downturn trend amid the rising geopolitical tensions following Russian President Vladimir Putin's remarks on the nation's partial military mobilization that have seemingly prompted the slump of the currency.
Later today, the Federal Reserve is expected to reveal its decision on its future monetary tightening that might entail an interest rate hike by 75 basis points, as the country records a higher-than-expected inflation rate in August. Market traders also anticipated the Bank of England's Thursday announcement, which will specify its subsequent actions in tackling the economic crisis.
The pound sterling dropped 0.36% against the greenback, changing hands to $1.13394 at 7:40 am ET.