GBP/USD Gains Over Conservatives’ Lead, Strong Retail Sales

The Sterling has edged slightly higher vs. the US dollar as polls offer the Conservatives a lead in the upcoming general elections on December 12, which could potentially help the Brexit Bill being passed in the UK Parliament before the deadline. At the time of writing, GBP/USD is trading at around 1.289.

While the lead is narrowing with the Labour Party making gains, for now, expectations are that the Tories could have a majority of nearly 50 MPs in Parliament. A recent Reuters poll reveals that the Conservatives enjoy around 41% support while the Labour Party has gained two points to garner around 34% support.

The Pound has also received a boost from the recent retail sales report released by the CBI which revealed a rise to -3% YoY during November, the highest level seen in seven months. Despite Brexit uncertainties, British retailers expressed greater optimism for a rise in retail sales next month.