British Pound Edges Higher Against Euro Following UK-EU Draft Trade Deal

The British pound traded marginally higher against the euro at €1.1989 as markets reacted to a draft post-Brexit trade agreement between the UK and the European Union. The 200-page sanitary and phytosanitary deal removes costly administrative checks and certifications on food and agricultural exports, with the UK projecting £5.1 billion in annual economic benefits. Although the deal supports the pound by easing trade friction, sterling's advance was capped by rising gilt yields linked to crude oil pressures. Meanwhile, the euro remained in a tight range ahead of Eurozone flash CPI data projected at 4.0%.