Sterling reaches three-and-a-half year high against yen

<p>Sterling is up to a three-and-a-half year high compared to the yen.</p>

Sterling saw a boost in its value yesterday (April 11th), reaching a seven-week high against the US dollar and a three-and-a-half year high compared to the Japanese yen.

The pound touched a peak of $1.5413 against the dollar on Thursday afternoon, which is its top point since the start of February. At 153.47 yen, it was at its peak against the yen since 2010.

Simon Derrick, head of currency research at Bank of New York Mellon, told the Daily Telegraph that sterling had the attention of investors yesterday.

"All anyone cares about is borrowing in the yen and sticking it somewhere to get higher yield," he said.

However, the specialist suggested the recent gains that have been made by sterling against both the yen and the US dollar are not going to be sustained for much longer.

Writing for Investment Times this week, Peter Hargreaves of Hargreaves Lansdown claimed sterling's weakness could persuade investors to diversify their assets.

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