Sterling rises as local election results roll in; Middle East in focus

May ​8 (Reuters) - ⁠Sterling rose against ​both the euro and the dollar ​after ‌the election outcome confirmed ⁠expectations of heavy losses for ⁠Labour, while ​investors continued to closely watch developments in the Middle East. British Prime ​Minister ‌Keir Starmer’s Labour party haemorrhaged support in areas reporting results overnight.

The prospect of ​heavy losses had been ‌widely expected by investors. By Friday morning, the ‌pound was up 0.21% at $1.3578 , and was roughly flat against ​the euro, which traded at 86.47 pence. The ‌U.S. dollar index edged down against most major currencies on ⁠Friday ⁠after renewed hostilities ‌broke out between the U.S. and Iran.

U.S. ​President ​Donald Trump told ‌reporters the ceasefire was still in effect. (Reporting by Stefano Rebaudo; editing by Amanda Cooper)