Sterling set to stage H1 comeback

LONDON - Sterling is to stage a comeback against the euro in the first half of the year, as the European Central Bank (ECB) is forced to cut rates aggressively, predict analysts polled by FX Week .

The UK unit has been testing parity against the euro while hitting record levels against the US dollar in the past few weeks, as a dearth of liquidity during the holiday season drives the unit lower. The euro traded at a high of 0.9757 cents per pound on December 30, morning GMT.

"We will see a

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