Graphic: World FX rates in 2020 http://tmsnrt.rs/2egbfVh
Graphic: Trade-weighted sterling since Brexit vote http://tmsnrt.rs/2hwV9Hv
LONDON, Sept 29 (Reuters) – Sterling hit a one-week high on Tuesday despite a stronger dollar as three days of negotiations on Britain’s trade agreement with the European Union began in Brussels.
Talks on a joint legal text of trade agreement, which will also cover energy links and transport, will last until Friday morning.
“This week is a very, very important week for the pound as we slowly grind toward the day of true Brexit,” according to MUFG analysts.
“In negotiations and given the political capital that (Prime Minister Boris) Johnson is losing in the fight against COVID we see the balance as having shifted more in favour of a deal.”
Sterling was trading 0.4% higher at $1.2878 GBP=D3. In contrast, most other currencies, including the euro and the yen, were weaker against the