British Pound: External flows and fiscal risks – BNY
Geoff Yu at BNY argues that the Pound’s (GBP) resilience cannot rely solely on higher rate expectations as United Kingdom (UK) political uncertainty and prospects of fiscal loosening weigh on gilts.
The British Pound may face downward pressure due to political uncertainty and fiscal risks, potentially leading to a decline in its value against other currencies. Market participants may react by adopting a bearish stance on GBP.
Geoff Yu at BNY argues that the Pound’s (GBP) resilience cannot rely solely on higher rate expectations as United Kingdom (UK) political uncertainty and prospects of fiscal loosening weigh on gilts.
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