LONDON (Reuters) – The British pound rose more than 1% on Monday on hopes that Britain could secure a Brexit trade deal with the European Union by October or at least avoid a cliff-edge exit from the bloc.
The EU and Britain kicked off a decisive week of talks on Monday but cautioned that a deal was still some way off.
A final agreement must be reached by the end of December but both sides have set a preliminary deadline for next month as it will take some time to sign off any deal.
The pound’s gains were fuelled by an EU diplomat saying last week that “the mood music was a bit better” after Britain’s Brexit supremo Michael Gove expressed confidence about securing a trade deal.
“If discussions this week