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Pound hits two year high against euro
“Sterling climbed to its highest level against the euro in almost two years on Monday as concerns grew in the financial markets about the deepening crisis in the single currency.
A pound at one stage bought more than €1.23 on the foreign exchanges – making foreign holidays cheaper but UK exports to the single-currency zone more expensive.
Fears that "austerity fatigue" is setting in among voters were heightened after figures were released showing that Spain – the country thought to be next in line for a bailout – has slid back into recession.”
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