Reactive Analyst Comment, eToro: Theresa May Speech
By FF Newsroom · 18 April 2017
Senior Market Analyst Mati Greenspan, eToro said:
“Given the current polling numbers amongst the UK electorate, sterling volatility should be quite short-lived – there was actually greater volatility before we knew what the announcement was. However, we have seen a fall in the FTSE 100 immediately following the announcement, which highlights market concerns about the impact of further political upheaval for UK-listed businesses.
“Overall, positions on sterling have been short. But in recent hours, traders started to take long positions as they took advantage of the short-term dip. The rebound in the price of sterling highlights that markets don’t expect a significant change in policy direction as a result of today’s announcement.”