Entering the European market session, pound sterling trading once again struggled to maintain its position above the 1.3000 price level against the US dollar amid uncertainty over Brexit which continues to put pressure on the currency.
The pound has strengthened in the previous session after being backed by reports saying the UK will extend the negotiation period after the deadline set today, 15 October.
This has led to confidence that the UK and the European Union (EU) will reach a trade agreement before the deadline.
However, UK Prime Minister Boris Johnson still expressed his disappointment to European Commission President Ursula von der Leyen as there was still no progress in the talks.
Meanwhile, in a recent report by The Times, Brexit UK chief negotiator David Frost is said to have advised PM Johnson not to stay away from these talks as the deal is likely to be done in the next two weeks.
The market focus is now on the European Council meeting, which will see EU leaders meet in Brussels today and tomorrow, where they will decide whether or not to stay in the talks.
Any developments on the Brexit issue will continue to cause volatility in the pound sterling price movement.
