Moody’s Downgrades UK Credit Rating – GBP Crashes



Just as we prepare to head home for the weekend, the ratings agency Moody’s downgraded the UK credit rating to AA1 from AAA.

Needless to say the GBP collapsed as no real liquidity is in the markets as we approach 5 PM.GBPUSD Crashes After Moodys downgrades the UK credit rating

GBP went from 1.5250 to 1.5185 in the blink of an eye.

It will be interesting to see how the Far Eastern markets react to this on Sunday evening. GBP is closing at 1.5190.

Further reading:

GBP/USD Collapse – Guide to the next big levels

GBP/USD Weekly Forecast = Levels, events and sentiment


About

Matthew Lifson is a Foreign Exchange Trader and a Market Analyst. with Cambridge Mercantile Group.

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