Sterling At Highest Level Since Referendum

Sterling hit its highest level since the EU referendum today, beating a previous post-Brexit high in January. The pound reached $1.437 this morning. The pound has gained more than 5% against the dollar so far this year…

Analysts are calling the pound “the darling of the currency world”. As the City becomes more bullish on a deal, the Project Fear predictions – not least those of the Treasury – on the long-term weakness of the pound are being disproved. No humility on display, however…

Sterling Back Above $1.40

Sterling climbed back above the $1.40 benchmark today in a sign the currency is strengthening after Brexit. The pound is one of the strongest performing currencies so far in 2018. The pound touched $1.20 this time last year but has since recovered. Thomas Flury at UBS told the Financial Times

“It looks like the pound is becoming increasingly resilient . . . Markets have probably become more confident that a cliff-edge Brexit in 2019 will be avoided.”

Next time a remainer brings up the value of the pound…

Pound Down as Corbyn Gets Closer

This morning’s YouGov/Times poll (Con 43% vs Lab 38%) has knocked the pound, which fell against all of its 16 major peers this morning. Sterling has touched $1.2858 today, a two week low. Neil Jones, head of hedge-fund sales at Mizuho Bank told Bloomberg:

“Sterling correlates well with anything that shows a Tory majority and vice versa, so if you’ve got this situation where the majority closes right down, it may come to a critical level where it may not have a sufficient number of seats in the house. The market doesn’t like that.”

City jitters…

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