* Graphic: World FX rates in 2020 tmsnrt.rs/2egbfVh * Graphic: Trade-weighted sterling since Brexit vote tmsnrt.rs/2hwV9Hv LONDON, Jan 15(Reuters) - Sterling rose against the euro on Friday, touching an almost two-month high, after data showed Britain’s national lockdown in November was less damaging for the economy than expected. Britain’s economy shrank in November for the first time since the initial COVID-19 lockdown last spring, but the 2.6% monthly decline was smaller than most analysts expected. Sterling was at 88.93 pence at 0933 GMT, not far from the Nov. 11 high of 88.66 pence touched in earlier morning trade, after the data showing the impact of the national lockdown in November. “Sterling is performing well against the euro given the better-than-expected GDP data this morning,” said Neil Jones, head of FX sales at Mizuho Bank. Against a stronger dollar, sterling fell 0.3% at $1.3645, but was still close to a 20-month high of $1.3712 touched in the previous session. Sterling has performed well this week as pushed-back expectations of negative interest rates and hopes for a quicker economic recovery in Britain because of its vaccination campaign buoyed the currency. The Bank of England Governor Andrew Bailey damped down expectations for sub-zero rates in Britain. [nL1N2JO0R6} Market pricing for negative interest rates has been pushed back by nearly a month, with such rates now expected in June 2021, compared with May 2021 previously. Following the completion of a Brexit trade deal in December, investors have turned their attention to Britain’s economy and its COVID-19 vaccination campaign. Britain is set to step up coronavirus vaccinations with 500,000 doses a day by next week, the Financial Times reported on Thursday, citing a Scottish government document. Prime Minister Boris Johnson has said Britain is in a race against time to roll out the inoculation programme, while tougher restrictions have started to have some effect on the spread of COVID. (Editing by Larry King)
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