(Combines separate news items, adds Eurasia Group)

LONDON, Oct 11 (Reuters) – Major investment banks said on Friday they had become more optimistic on the prospects for a Brexit deal, following an upbeat meeting between the British and Irish leaders that buoyed the pound.

Irish Prime Minister Leo Varadkar on Thursday said that a withdrawal agreement could be clinched by the end of October, which would allow the United Kingdom to leave the European Union in an orderly fashion.

EU negotiator Michel Barnier and his British counterpart Stephen Barclay, meanwhile, held a “constructive” meeting on Friday, both the…

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