Brexit Angst

Experts pointed to a report from the Times of London that suggested Prime Minister Theresa May was preparing for the Scottish government to call a second independence referendum to coincide with the triggering of Article 50 in March.

 “If that’s the case, I suspect there’s been a bit of an overreaction here,” Ray Attrill, global co-head of foreign exchange strategy at the National Australia Bank, told CNBC.

Meanwhile, Stephen Innes, a senior trader at OANDA, told CNBC the pound’s decline could have been a result of traders hedging bets that U.K. economic data will likely be on the soft side in the future and also due to the lingering uncertainty over Brexit negotiations.

“It’s not as if we did not see it coming,” Innes said. “I do see decent support coming in at 1.2410-25 level but the big play for the dollar remains Trump’s speech tomorrow night.”

 

CNBC

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

Stephen Innes

Stephen Innes

Senior Currency Trader and Analyst at OANDA
Stephen has over 25 years of experience in the financial markets and specializes in Asian currencies at OANDA. After having started his trading career with NatWest Bank, he is currently based in Singapore as a Senior Currency Trader and Analyst with OANDA, focusing on the movement of the Aussie Dollar and ASEAN Currencies. Stephen has an extensive trading experience in Interest Rate Futures, Money Markets and Precious Metals. Prior to joining OANDA, he worked with organizations like Cambridge Mercantile, Nat West, Garvin Guy Butler, Sumitomo Mitsui Banking Corporation. Stephen was born in Glasgow, Scotland, and holds a Degree in Economics from the University of Western Ontario.
Stephen Innes
Stephen Innes

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