Oops, the GBP has done it again
The Pound has done it again and dived to a new 31 years low. This tumble most likely accrued due to the growing fears surrounding the Brexit and the current lack of leadership in Britain.
This situation causes analysts to lose many of their sleeping hours as the political uncertainty becomes stronger and might eventually cause recession. What those traders can take comfort in is the protective steps the Bank of England had undertaken in order to try and prevent the situation from escalating any further.
Despite these much needed steps, many traders still believe that the GBP had yet to reach rock bottom and further decline is in the horizon. This market fearful behavior is due to the Brexit financial repercussions which are accompanied by political ones.
As of right now, there is a great deal of uncertainty regarding Britain as the conservative party has yet to find a successor to Prime Minister David Cameron who resigned after the referendum's results were published and his “remain” camp lost.
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