The pound surged yesterday, reaching close to last week’s two-and-a-half-month high against the euro and holding onto those gains so far this morning.
The gain was even more impressive against USD, gaining close to 1% on the day, although remaining well down on where we were last Tuesday.
The cause is likely to be rises in the stock markets, which GBP has a tendency to follow.
This week we’ll be hearing from the Bank of England Monetary Policy Committee of Thursday, but before that we have CBI industrial trends at 11am today and Markit services and manufacturing PMI (the Purchasing Managers’ Index) on Wednesday morning.
