After a brief uplift at the end of last week, the pound is in a weak position this morning as the Conservative leadership race gets officially underway. Any last-minute hopefuls have until 5pm this evening to enter the contest.
Fresh controversy at the weekend has arguably cast even more uncertainty over who will get the top job. This morning, Boris Johnson has pledged to cut income tax for high earners if he wins.
The latest GDP figures for April will be released today, which is expected to show a small contraction due to a decrease in Brexit stockpiling. The Balance of Trade figure will also come out this morning
The pound benefitted from a weaker dollar on Friday, but fell against the euro in the afternoon, failing to hold onto its morning gains. The outcome of the Peterborough by-election may have provided sterling with some brief relief. However the likelihood of a no-deal Brexit still weighs heavily.
