GBP/USD: Bringing Brexit back – TDS
|Economists at TD Securities note that GBP's prospects are worsening by the day.
Key quotes
“Despite the crisis going on all around us, UK leaders are determined to push the issue of Brexit this year. We cannot dismiss that their stance will likely be deliberately hardened given the circumstances, in an effort to deliver a hard Brexit and begin with a clean slate.”
“Michel Barnier's comments today suggest that the EU and UK are drifting further apart in discussion points. Indeed, he noted that the UK argued for positions that they were too far apart on. If it continues like this, the USD's status as the haven of choice just got stronger as cable's days with a 1.20-handle are numbered.”
“1.25 looks like it will be formidable resistance. But for this quarter, we think the prospects of reaching our 1.18 forecast has improved in recent days.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.