King says sterling 'properly valued' in move to halt slide

Outgoing Bank of England(BoE) governor Sir Mervyn King said last night the pound is now "properly valued" in a move to halt its slide.

Sounding the alarm following a woeful start to the year for sterling which has seen it plunge in value against currencies including the dollar, King moved to halt the slide, as commentators start to fret over the impact on households and inflation. He told ITV News: "We are moving to a properly valued exchange rate. I think we're probably there". "Basically we are at the same level [of sterling] we were after the impact of the financial crisis. "We are certainly not looking to push sterling down. Weare looking to ensure recovery in the UK economy and gradually bring inflation back ...