The Pound is continuing to depreciate versus its peers, having lost more than 1% against the Dollar so far this week. At a time when the mood of the markets appears to be tilting towards risk aversion, sterling is facing strong headwinds. Prime Minister Boris Johnson is expected to announce new COVID-related restrictions to economic activity later today and the future of the post-Brexit relationship with Europe remains on a knife-edge, while increasingly loud noises coming from the Bank of England hint at the possibility of negative interest rates.
