GBP/USD To Move To 1.30 Given A 'Leave' Vote Or 1.50 If 'Remain' Wins - SEB

GBP/USD To Move To 1.30 Given A 'Leave' Vote Or 1.50 If 'Remain' Wins - SEB

16 June 2016, 20:07
Vasilii Apostolidi
0
252

With a majority of opinion polls currently favouring a 'Leave' outcome betting odds have changed substantially.

Copy signals, Trade and Earn $ on Forex4you - https://www.share4you.com/en/?affid=0fd9105 

 

The probability that the UK will vote to remain in the EU has declined from 82% in late May to only 58% currently. With an increased probability of a 'Leave' vote the GBP has depreciated across the board, particularly against currencies such as the USD, JPY and CHF.

The tight relationship between changes in betting odds and the exchange rate offers an attractive way to compute the impact on the exchange rate of the referendum outcome. It indicates GBP/USD could well move to 1.30 given a 'Leave' vote or 1.5 0if 'Remain' wins.

Share it with friends: