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Sterling touches new 2022 high; Trump EU tariff reversal dents dollar - REUTERS
LONDON, May 26 (Reuters) - The pound edged up on Monday to trade around its highest since early 2022, as the dollar came under broad pressure following another abrupt reversal in trade policy by U.S. President Donald Trump that gave investors a fresh dose of uncertainty.
On Friday, Trump sent a shiver through global markets by threatening a 50% tariff on all European Union imports into the U.S. from June 1, reigniting concern about the impact of U.S. trade policies on the underlying economy.
By Sunday, he had reversed tack, pushing the deadline for tariffs to July 9 from June 1, after European Commission President Ursula von der Leyen told him on the telephone that the 27-nation bloc needed more time to produce a deal.
The EU said on Monday the call at the weekend had given "new impetus" to trade talks.
Even though Britain has a deal in place with the U.S., the pound has been caught up in the relief rally in non-U.S. assets.
Sterling was up 0.13% at $1.3558, having touched a session high of $1.359, its highest since February
