The choice of chancellor is expected to drive UK gilts and sterling, MillTech
analyst Nick Wood said. Investors are eager for the chancellor appointment after
Starmer's resignation this week; incumbent Chancellor Reeves is likely to be
replaced. Wood said the chancellor could be as important to market confidence as
the new prime minister and investors want clarity on the incoming team's
economic policy. With no other credible challengers so far, front-runner Andy
Burnham appears increasingly likely to be appointed prime minister unopposed.
