Pound tanking, massive tax cuts and talk of emergency hikes. Here's what's going on in the UK
Britain's Prime Minister Liz Truss and Britain's Chancellor of the Exchequer Kwasi Kwarteng. Dylan Martinez | Afp | Getty Images LONDON – The first fiscal policy announcement from new British Prime Minister Liz Truss's government has been met with one of the most pronounced market sell-offs in recent history. The British pound hit an all-time low against the dollar in the early hours of Monday morning, dropping below $1.04, while the U.K. 10-year gilt yield rose to its highest level since 2008, as disarray continued following Finance Minister Kwasi Kwarteng's "mini-budget" on Friday. Jim O'Neill, former Goldman Sachs Asset Management chairman and a former U.K. Treasury minister, said the pound's fall shouldn't be misinterpreted as dollar strength. "It is a consequence of an extremely risky budget by the new chancellor and a rather timid Bank of England that, so far, has only raised rates reluctantly despite all the clear pressures,"...