Sterling to rise to pre-Brexit levels next year, Bank of America says

Contributing sentiments towards policy:

61% : Bank of America expects the U.K. economy to expand by 1.1% this year and 1.3% in 2026, compared to 0.8% GDP growth in the EU this year and 1% next year.
57% : "We believe U.S. trade policies give more incentive to the EU and the U.K. to have closer relations.
51% : Several other factors are also influencing Bank of America's outlook for sterling: the U.K.'s services-oriented economy, which insulates it somewhat from U.S. tariffs on goods; projections for four interest rate cuts from the Bank of England this year; lower reciprocal tariffs being aimed at the U.K. than many other countries; and higher economic growth forecasts for Britain than the EU.
45% : The British currency, which plummeted in the immediate aftermath of the EU referendum, has failed to fully recover in the nine years since the vote was held.
43% : "Now you can argue it's a win-win situation for them to improve trade relations in particular."

*Our bias meter rating uses data science including sentiment analysis, machine learning and our proprietary algorithm for determining biases in news articles. Bias scores are on a scale of -100% to 100% with higher negative scores being more liberal and higher positive scores being more conservative, and 0% being neutral. The rating is an independent analysis and is not affiliated nor sponsored by the news source or any other organization.