Global Macro Service > Research Briefings > United Kingdom
The UK serving its divorce papers on the EU tomorrow will not herald another plunge in sterling. We think the pound is significantly undervalued. It hasn’t broken below the October lows despite the hawkish policy shift by the Fed, a less dovish ECB and Brexit-specific shocks materialising. Sterling will likely rebound to 1.32 against the dollar by end 2017. We see risks of an overshoot to our forecast in the intervening period.
To read the full briefing please
If you are not a subscriber, request a free trial of our Global Macro Service by filling out the form below