GBP/USD: PM May is about to lose another cabinet minister - Scotiabank

Analysts at Scotiabank explained that GBP has not participated in the modest rally against the USD seen elsewhere. 

Key Quotes:

"The BoE Agents’ survey of the regional economy reflected rising wages but weak investment trends.

The GBP’s lack of support largely reflects reports suggesting that PM May is about to lose another cabinet minister following recent coverage of International Development minister Patel’s unauthorized meetings with Israeli officials." 

"Sterling rallied through the upper 1.31 area at the start of the week but looks soft and vulnerable to additional losses with the peak around 1.3175 marked by a bearish formation on the intraday chart (minor double top, targeting a drop back to 1.3050)."