Summary
Borrowing costs in the UK rose sharply, and the British pound fell after Chancellor Rachel Reeves appeared emotional in parliament. The financial markets reacted to her appearance and concerns over the government's budget plans, causing uncertainty about her position.
Key Facts
- Borrowing costs in the UK increased significantly.
- The British pound dropped by 1% against the US dollar.
- Chancellor Rachel Reeves appeared emotional during a parliamentary session.
- There was speculation about her position in the government.
- The UK Prime Minister's press secretary stated that Reeves has full support and is not being replaced.
- The government reversed plans to cut welfare benefits, creating a nearly £5 billion gap in budget plans.
- The FTSE 250 index, linked closely to UK policy changes, fell by 1.34%.
- The rise in government borrowing costs highlights concerns about the UK's financial plans.
