Pound Jumps as Traders Look for Endgame to U.K.-EU Trade Talks

  • Sterling rose as much as 0.9%, most since Nov. 23, to $1.3441
  • Time is running out for a trade agreement before Dec. 31

British Union Flags hang from a closed souvenir store in London.

Photographer: Jason Alden/Bloomberg
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The pound rallied the most in more than a week, as speculation grows British and European officials are getting closer to striking a trade deal.

Sterling rose as much as 0.9% to $1.3441, extending gains after Times Radio’s Political Correspondent Tom Newton Dunn wrote on Twitter that both sides have entered the so-called tunnel in Brexit trade talks, a period of intensive negotiations that forms the precursor to any deal, without saying how he got the information.