From CIBC:
Despite the fact that economic indicators have shown less of a slowdown than had been expected, the post-Brexit vote environment hasn’t been particularly positive for sterling. The recent short-covering rally in sterling ran out of steam just shy of 1.35, with the currency retreating thereafter. With some of the more pessimistic forecasts calling for an outright recession in 2017, investors are still wary of the spectre of additional policy stimulus from the Bank of England. Despite criticism from a number of politicians, Governor Carney could still ease policy further should data disappoint.
