Sterling Gains – Trump Doesn’t

Sterling rose for a third consecutive day, buoyed by a BBC report that Britain is preparing for a Brexit agreement by the end of November.

The pound has benefited from growing hope among investors that Britain is close to reaching a deal with the European Union less than five months before it leaves the bloc.

A 3 percent rally in the currency over the last week comes despite unresolved differences over the Irish border.

It is unclear if an agreement on that issue can be reached in time to hold an emergency summit of EU leaders in November to sign off on a deal.

Headlines on the progress of Brexit talks have made the pound increasingly jumpy. Implied volatility on one-month pound options, a gauge of expected swings in the British currency, is at its highest levels since February.

The BBC reported on Tuesday that May planned to give a speech on Nov. 19 saying she had delivered on the referendum with a deal which brings the country back together.

Donald Trump faced greater restraints on his presidency after Democrats won control of the U.S. House of Representatives and pledged to hold the Republican accountable after a tumultuous two years in the White House.

Trump and his fellow Republicans expanded their control of the U.S. Senate in Tuesday’s midterm elections, following a divisive campaign marked by fierce clashes over race and immigration.

But they lost their majority in the House, a setback for Trump after a campaign that became a referendum on his leadership.

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