The pound has risen on currency exchanges this week, suggesting new investor optimism in the UK.
Sterling enjoyed a strong day's trading yesterday, rising on the currency markets to above $1.50 for the first time since January.
The pound touched the four-month high as investor sentiment improved towards the UK in general. Currencies generally gain in strength when investors see the country or countries they represent as a "safe bet" - and vice versa.
At one point yesterday, the pound hit $1.503, while the currency also rose against the euro, touching a six-week high of €1.137.
Fears over Britain's economic prospects had led to a dramatic weakening in the pound over recent months. In December, sterling slumped to an all-time low of €1.02 - and it also reached a near-30-year low of $1.35 the following month as economists' reports signalled that the UK would suffer a far worse recession than other countries of similar size.
However, more recent data, including a major report from the Paris-based Organisation of Economic Co-operation and Development, have suggested that Britain will suffer a less severe recession than nations including Japan and Germany. This, coupled with upbeat UK property market reports from the Royal Institution of Chartered Surveyors (Rics) and the Council of Mortgage Lenders which this week showed increases in both buyer enquiries and loan approvals, appears to have buoyed sentiment and strengthened the pound.
Speaking to Reuters, currency strategist Lee Ferridge at State Street commented: "The strong Rics survey overnight has boosted sterling. It is higher than it was 12 months ago and people are seeing tentative signs of green shoots in the UK housing markets."
