The post-budget empty-headed departure in the UK has helped boost the pound, but it is expected that the subsequent rally will lack momentum.

This week, the pound rose to above 1.335 against the US dollar, reaching its highest level since October 22. The UK budget eliminated some uncertainties, combined with the strong performance of the November S&P Global Composite PMI data, providing support for the pound. Looking ahead, due to the cyclical pressure on the UK economy and expectations of loose central bank policies, the pound lacks upward momentum and remains difficult to be optimistic about.