020 7898 0500Sterling strengthened against the euro again yesterday to make it four consecutive days of gains. However, if we look at the movements in more detail, we can see that in recent times, the pound has tended to lose more ground in a short space of time than it subsequently makes up. For example, the levels it hit yesterday are around the same it was at eight days ago, yet in that time it has made gains on six days. A big move is perhaps overdue and it will be fascinating to see when that movement comes and, when it does, in which direction it will be.
In other news, Theresa May said that the UK will leave the customs union and will operate its own trade policy after 2020. This would normally be headline news, but as is frequently becoming the case, no real suggestion of how this will be achieved was forthcoming. As it stands, there is no Brexit-related trade and customs bill for MPs to see, or anything whatsoever about immigration and fisheries. For now, it feels as if everything should be taken with a pinch of salt. What we really need to see is an actual plan – not vacuous statements that feel designed to appease hard Brexiters in her party.
