LONDON, Jan 6 () #8211; Sterling was set on Friday for a second week of gains against the dollar and its first against a basket of currencies since the start of December, riding out nerves about the government#8217;s preparations for Brexit talks due to start in March.
He said that as important as the government#8217;s attitude to immigration and the single market would be whether May put more emphasis on plans to seek a longer transitional period to smooth an exit that would be due within two years of starting talks.
Prime Minister Theresa May is expected to seek to quash charges of indecisiveness #8211; The Economist#8217;s front page this week called her #8220;Theresa Maybe#8221; #8211; with a speech later this month outlining her central aims for the talks.
Worries about a big economic hit as a result of such a stance have been at the heart of sales in sterling since the referendum vote to leave the EU last May. Yet, helped by more robust than expected economic data, the currency has proved more robust since early November.