Sterling fell to around $1.3234, touching intraday low $1.3211, as dollar stayed firm amid White House deadline on US‑Iran conflict.
Dollar support stemmed from heightened geopolitical uncertainty, elevated energy prices and stronger US labour data, keeping inflation expectations high.
Markets price Fed policy flat this year, but activity data may shift expectations toward rate hikes; ECB April move seen less likely.
Liquidity may thin later week due to holidays, potentially amplifying market moves tied to geopolitical developments.