The pound weakened at the end of last week due to changes in global market sentiment around risk aversion and bond yields. Sterling is still weaker against the euro and the dollar than it was towards the middle of last week.
This week, all eyes will be on the Chancellor’s Budget on Wednesday. Rishi Sunak will outline the government’s spending plans, including whether the UK will begin paying off the debts and how it is going to support those hardest hit by the economic effects of the pandemic.
There will be a series of PMI data leading up to the Budget on Wednesday, which should give an indication of how the UK economy performed in February.
