The pound headed for the biggest gain since its post-election rally two weeks ago, benefiting from improved global risk sentiment and broad weakness in the dollar. Sterling rose above $1.31 and outperformed all major peers Friday, on track for a weekly gain amid thin trading ahead of year-end. The greenback fell against all Group-of-10 currencies, with the Bloomberg Dollar Spot Index set for the largest two-day slide since October. “Pound topside is very much in vogue these days,” Stephen Innes, chief Asia market strategist at AxiTrader Ltd., wrote in a note. “The pound may stabilise and possibly rally into January and February before trade negotiations come to back to haunt in mid-March ahead of the European Council.

Source: The Irish Times December 27, 2019 15:45 UTC