GBP: What’s Next For GBP As Th Odds Shifting More In Favor Of A Tory Election Victory? – MUFG

0

Here is their view, courtesy of eFXdata:

MUFG Research discusses GBP outlook on the back of reports that the Brexit Party is due to stand down in 43 seats across the UK.

The odds have shifted more in favor of a Tory election victory. Further reduction in political risk premium is probable, helping the pound, but some signs of Labour party poll gains and the macro backdrop will limit the upside.” MUFG notes.

“The latest opinion polls released this week continue to signal that the Tories hold a healthy lead over the Labour party of around 10-12 percentage points. Public support for both the two main parties (Tories and Labour) has increased since the election was called at the expanse of the Brexit party and Lib Dems. The gap though between the Tories and Labour would have to narrow materially to create more election uncertainty and weaken the pound,” MUFG adds.

For lots more FX trades from major banks, sign up to eFXplus

By signing up for eFXplus via the link above, you are directly supporting Forex Crunch.

Get the 5 most predictable currency pairs

About Author

Yohay Elam – Founder, Writer and Editor I have been into forex trading for over 5 years, and I share the experience that I have and the knowledge that I’ve accumulated. After taking a short course about forex. Like many forex traders, I’ve earned the significant share of my knowledge the hard way. Macroeconomics, the impact of news on the ever-moving currency markets and trading psychology have always fascinated me. Before founding Forex Crunch, I’ve worked as a programmer in various hi-tech companies. I have a B. Sc. in Computer Science from Ben Gurion University. Given this background, forex software has a relatively bigger share in the posts.