Seven days in the Square Mile

The pound shot to a two-month high as traders digested the news that the UK and EU Brexit talks may have reached agreement on a divorce settlement, which could allow negotiations to move on to transitional arrangements and a full future trade agreement. The firmer pound, together with higher gilt yields, reflect expectations that the Bank of England could tighten policy at a faster pace if a deal is achieved. The bitcoin surge showed no sign of ending. Having broken through the landmark $10,000 level, the price gained $1,000 in a morning on Wednesday. The Government launched a white paper containing details of a new industrial strategy designed to increase UK productivity. It highlighted five key areas including a “major” infrastructure upgrade and “sector deals” to champion specific industries. Ocado shares jumped 21% after the online grocer announced a deal to supply its technology to France’s Groupe Casino supermarket chain; it hopes to strike “multiple” similar deals. Palmer and Harvey, a wholesaler supplying Tesco and Sainsbury’s went into administration blaming “challenging trading conditions”. The Time Inc. publishing group put itself up for sale, it looks likely to be sold to the Meredith Corporation in a $1.8bn deal. easyjet admitted a vast gender pay gap: male employees earn 51.7% more than female colleagues on average, largely because “pilots are predominantly male”.