The pound is a bit like Theresa May at the moment. Seriously bruised by the fallout of the Brexit draft deal, shaken by a series of high profile resignations, but, for the time being (and however misguidedly), emboldened by a sense of resilience.
All this is to say that sterling avoided another round of losses as Friday got underway. Against the dollar it was up 0.2%, allowing cable to cross $1.282, while against the euro it added 0.1%, just about putting the pound the right side of €1.1283. As for the FTSE – in a rare sight relatively allied with its currency – it rose 50 points to return to 7090 (despite the recent Brexit carnage the UK index hasn’t really budged from the 7000 to 7150 trading band it has been stuck in throughout November).
Of course, it is still very early in the day, with some key figures yet to fully reveal their allegiances. Most pressing, perhaps, is Michael Gove, the man who has reportedly rejected an offer to take over as Brexit Secretary because he would not be able to renegotiate the divorce deal. This leaves the prominent Leaver in a sticky situation, with rumours circulating that he may already have one foot out of the door, despite having provided support for May during Wednesday’s marathon Cabinet sesh.
Elsewhere the Eurozone indices, which were shaken by Thursday’s drama, were in rebounding spirits, with the DAX and CAC rising 0.8% and 0.9% respectively.
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