Just focusing on GBP today.
A few of you picked up on yesterday’s mistake. The poll running was whether Liz would outlive a lettuce, not a cabbage. A cabbage can apparently last up to 2 months in the fridge; I personally don’t think Liz Truss has that long! Live feed can be found by clicking here
6 week highs against the EUR and October highs against the USD.
Why? Tax reversals. The list of U-Turns Jeremy Hunt implemented yesterday will give the UK economy a projected £32.3 billion in additional funds by 2026-2027, thus GBP strength. Calm has certainly returned in the FX markets now we have a realistic budget in place with the UK now deemed (again) a relatively stable investment opportunity; for now. However we do need a consistent leader in order for GBP to cement a recovery back to palatable levels, regardless of who that may be.
Jeremy Hunt, arguably de facto PM of the UK, has steadied the ship for now and it’ll be interesting to see in the next week or so who’ll be leading the media rhetoric in the coming week. It’ll also be interesting to see how hell bent the Bank of England will be to ramp up interest rates during the run up to Christmas now the spot light is off them….
Have a good morning all