The pound has almost entirely unwound the post-BoE gains, making a more balanced risk distribution and political uncertainty will continue to keep a lid on sterling, according to analysts at ANZ. “Last week, the Conservative party continued to show divisions; while there is speculation that UK’s PM May will soon be pushed to resign. While it’s very unlikely May will actually leave, the political turmoil in the UK certainly won’t help the UK-EU negotiations on Brexit. The fifth and final round of negotiations is set to start next week, but there is very little hope for any significant progress there.”