Pound wobbles as May resigns

London: The British pound wobbled on Friday following Prime Minister Theresa May´s widely-expected resignation, while stock markets mostly rebounded as US President Donald Trump offered an "olive branch" to China in their trade war, dealers said. Sterling briefly sank below $1.27 after May announced that she would step down on June 7 as prime minister, paving the way for a brutal contest to replace her.

However, the pound did not reach the four-month lows that were plumbed a day earlier and was still higher compared to late Thursday, as dealers argued the news had already been priced in. "The pound will bounce around here and there but it won´t be going anywhere fast," Forex.com analyst Fawad Razaqzada told AFP. "A lot now depends who will be the next leader of the Tories."