lundi 23 mars 2015
Pound Emerging as Election Loser Whichever Party Seizes Victory
Posted on 03:36 by nice news
The likely outcome of Britain’s general election is finally becoming clear. The outcome, that is, for the pound.
In a bearish sign for the currency, traders are paying more to hedge against sterling losses versus the dollar now than in the weeks before the Scottish independence referendum back in September. Opinion polls ahead of the May 7 vote put the Conservative and Labour parties virtually neck and neck and investors say there are dangers whichever one ends up running the government.
“All paths lead to a degree of sterling weakness,” said Daragh Maher, a London-based strategist at HSBC Holdings Plc, which sees the pound falling more than 2 percent to $1.45 by year-end. “Traditionally the pound does better if the Conservatives are expected to win and does worse if Labour are set to win. That doesn’t hold so closely this time around.”
The Conservatives have promised a referendum on Britain’s membership of the European Union, while Labour proposes a real-estate tax and a crackdown on energy prices. Pundits say the most likely result is a hung parliament with no clear winner, adding political
In a bearish sign for the currency, traders are paying more to hedge against sterling losses versus the dollar now than in the weeks before the Scottish independence referendum back in September. Opinion polls ahead of the May 7 vote put the Conservative and Labour parties virtually neck and neck and investors say there are dangers whichever one ends up running the government.
“All paths lead to a degree of sterling weakness,” said Daragh Maher, a London-based strategist at HSBC Holdings Plc, which sees the pound falling more than 2 percent to $1.45 by year-end. “Traditionally the pound does better if the Conservatives are expected to win and does worse if Labour are set to win. That doesn’t hold so closely this time around.”
The Conservatives have promised a referendum on Britain’s membership of the European Union, while Labour proposes a real-estate tax and a crackdown on energy prices. Pundits say the most likely result is a hung parliament with no clear winner, adding political
Pound Emerging as Election Loser Whichever Party Seizes Victory
Inscription à :
Publier les commentaires (Atom)
0 commentaires:
Enregistrer un commentaire