PA Portfolio: What could cause the pound to weaken?

    'Sterling could easily give back some of its recent gains' James de Bunsen, multi-asset fund manager, Henderson Sterling has been rallying because economic momentum in the UK has been so strong over the past year, outpacing every other major developed market. This has caused investors to bring forward their forecasts of when the Bank of England (BoE) is going to start raising interest rates. If these growth expectations are not matched by forthcoming data, sterling could easily give back some of its recent gains. We think growth momentum in the UK may have peaked and t...