LONDON, March 8 Britain's pound recovered from
morning losses on Wednesday to turn briefly flat on the day
against the euro and regain a foothold against the dollar as
finance minister Philip Hammond delivered his 2017 budget
The pound, under pressure from signs of flagging consumer
demand and nerves over upcoming Brexit negotiations, started
gaining as Hammond began speaking in parliament and rose further
after he upgraded some official economic and budget forecasts.
By 1259 GMT, it traded 0.2 percent lower on the day at
$1.2177, up almost half a cent from the day's lows. It
was marginally lower on the day at 86.67 pence per euro.
Britain's main FTSE exchange was broadly unchanged since the
start of the budget speech, down 0.2 percent on the day.
"The pound has risen off its lowest level against the dollar
since mid-January in the past few minutes after chancellor
Philip Hammond announced upgrades to the GDP forecasts," said
David Cheetham, chief market analyst with retail broker XTB in
"Mr. Hammond has also stated that public borrowing will
decrease significantly in 2017 to 51.7 billion pounds from the
68 billion seen previously in another development that has
caused a mildly positive reaction."
(Writing by Patrick Graham, editing by Nigel Stephenson)