Today Sterling had a blip up on expectations that the EU and HM’s government were going to announce a Brexit deal. The reasoning being that once there will be a ‘clean’ Brexit agreement, all will be well and the UK will continue its path to greater prosperity and lower uncertainty.
This is most probably a fallacious opinion. The big elephant in the room is not Brexit, it is Jeremy Corbyn. The markets can deal with any Brexit, but the markets and the UK cannot deal with a radical socialist, who has at this time better than even odds to succeed the weakened Ms. May at Number 10 Downing Street.
Any rally in sterling should be sold until such time as the spectre of a Corbyn’s government stops looming in the horizon.