Sterling rally looks vulnerable as strategists bet selling will resume in coming months

Analysts betting further losses for sterling, with some predicting a new record low by year-end after British policy missteps undermined confidence in the currency

British prime minister Liz Truss, sits with chancellor Kwasi Kwarteng, centre, foreign secretary James Cleverly, second left, and her husband Hugh O'Leary, right, during the Conservative Party conference in Birmingham.

Sterling has rallied more than 10% from last week’s lows against the dollar but most strategists are sticking to bets the British currency will resume losses, with some predicting a new record low by year-end.

Entering its sixth straight day of gains, sterling is poised to post its longest rally since April last year, bouncing off last week’s record low of $1.035.