Analysts are more optimistic than the UK government that an agreement will be reached with the EU next month to move Brexit talks on to trade, even as Theresa May’s political troubles continue to weigh on the country’s beleaguered currency.

Analysts are more optimistic than the UK government that an agreement will be reached with the EU next month to move Brexit talks on to trade, even as Theresa May’s political troubles continue to weigh on the country’s beleaguered currency, writes Charlotte Ryan. 

Sterling looks set for a volatile run into British elections next week but an argument can be made for markets reacting positively to a defeat for UK prime minister Theresa May’s Conservatives, according to analysts from US banking giant JPMorgan.