UK: Theresa is doomed – Nordea Markets

Sandeep Kanihama FXStreet Contributor

Analysts at Nordea Markets suggest that last week, they have found the market optimism surrounding a Brexit deal too stretched and after a week later there is no whatsoever majority in favour of Mays Brexit draft deal.

Key Quotes

“Judged by the risk reversal, EUR/GBP could be headed as high as 0.91-0.92, if the full risk of a new Brexiteer-PM is priced in. We stay long EUR/GBP, as we consider Theresa May doomed.”

“There is no majority in favour of anything in the House of Commons, meaning that it is ultimately very hard to imagine any progress being made without a shakeup of the current composition of mandates. New elections are unavoidable.”

Author

Sandeep Kanihama

FXStreet Contributor

Sandeep Kanihama is an FX Editor and Analyst with FXstreet having principally focus area on Asia and European markets with commodity, currency and equities coverage. He is stationed in the Indian capital city of Delhi.

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