After a weak start to the day, the pound recovered yesterday against both the euro and the dollar and is still strong this morning. Once again, the pound is move in tandem with the global markets, which have improved due to news of the EU recovery plan.
However, worries about the lagging UK economy and Brexit talks persist. Brexit negotiations continue in London this week after the latest round of negotiations in Brussels. Many fear that talks will run right down to the wire, as little progress appears to be being made on sticking points such as fishing waters and the ‘level playing field’.
Budget deficit figures for the UK in June were released this morning, showing a £34.8 billion budget deficit in June of 2020 compared to a £6.5 billion gap a year earlier. This was higher than expectations of a GBP 34.3 billion shortfall.
