Could the pound crash to one dollar? A Boris Johnson Brexit might make it happen
5 years, 5 months ago

Could the pound crash to one dollar? A Boris Johnson Brexit might make it happen

CNN  

London CNN Business — Could the value of the pound drop to just one US dollar? Johnson has said the United Kingdom must leave the European Union by October 31 with or without an agreement to protect trade with the country’s biggest export market. “It’s going to be a long and painful grind all the way to October 31.” Analysts warn that a precipitous decline in the value of the pound would cause inflation to spike, hurting consumers. “There’s this … magnet drawing sterling lower, just because time is shortening.” Boris Johnson has said the United Kingdom must leave the European Union by October 31 with or without an agreement to protect trade. Should the falling pound undermine confidence in the UK economy among foreign investors, it could spark concerns about Britain’s current account deficit, or the amount it borrows from the rest of the world.

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History of this topic

The British pound hasn’t been this weak since Margaret Thatcher was prime minister
2 years, 4 months ago

The British pound hasn’t been this weak since Margaret Thatcher was prime minister

CNN  

New York CNN Business — The British pound fell to a 37-year low against the US dollar Wednesday as the United Kingdom grapples with a series of overlapping economic problems with no easy solutions. Meanwhile, Liz Truss is on her first full day in the job as the United Kingdom’s fourth prime minister since the Brexit vote in 2016, and …

Brexit: Pound heading for a crash if Britain fails to get a trade deal
4 years, 1 month ago

Brexit: Pound heading for a crash if Britain fails to get a trade deal

CNN  

London CNN Business — The British pound could plunge by 10% or more if the United Kingdom does not finalize a trade deal with the European Union this weekend. Currency traders who once assumed a deal would be completed before a Brexit transition period ends on January 1 will be nervously watching events over the next 72 hours after British …

Pound falls as optimism fades in last-ditch Brexit negotiations
4 years, 1 month ago

Pound falls as optimism fades in last-ditch Brexit negotiations

Live Mint  

The pound declined as investors questioned how close Britain and the European Union really are to sealing a trade agreement. Monday Blues Traders had speculated on a weekend deal, but pessimism is solidifying, with the relative cost of hedging a weaker sterling over the coming month staging its longest advance in 17 years. “The risk now is that optimism turns …

Brexit: Britain’s trade choice could prolong the worst recession in 300 years
4 years, 1 month ago

Brexit: Britain’s trade choice could prolong the worst recession in 300 years

CNN  

London CNN Business — The UK economy is suffering its worst recession in more than 300 years and failing to secure a new trade deal with the European Union will make its recovery even longer and more arduous, according to the country’s independent fiscal watchdog. The Office for Budget Responsibility said on Wednesday that a no-deal Brexit would reduce output …

Brexit: No deal with EU worse for UK economy than Covid-19, says Bank of England governor
4 years, 1 month ago

Brexit: No deal with EU worse for UK economy than Covid-19, says Bank of England governor

CNN  

London CNN Business — Bank of England Governor Andrew Bailey has warned that failing to secure a new trade deal with the European Union would do more damage to the UK economy over the long run than the coronavirus pandemic. “I think the long-term effects … would be larger than the long-term effects of Covid,” Bailey said Monday in response …

Boris Johnson warns UK to prepare for no-deal Brexit. It could cost his reeling economy $25 billion next year
4 years, 2 months ago

Boris Johnson warns UK to prepare for no-deal Brexit. It could cost his reeling economy $25 billion next year

CNN  

London CNN Business — UK Prime Minister Boris Johnson is facing an expensive choice. Walking away empty-handed — which Johnson threatened to do on Friday — would create disruptions to trade when the transition period ends later this year, shaving more than $25 billion off the UK economy in 2021 compared to a scenario where a limited free trade deal …

Remember Brexit? Why Britain could really struggle to dig itself out of recession
4 years, 7 months ago

Remember Brexit? Why Britain could really struggle to dig itself out of recession

CNN  

London CNN Business — As nations around the world attempt to dig their way out of a cataclysmic global recession, Britain is in a particularly tight spot of its own making. “That said, clearly negative rates are one of the last resorts here.” Brexit clock ticking The risk they may be needed is rising because UK Prime Minister Boris Johnson …

British PM Boris Johnson’s ’final’ Brexit deal stirs sterling rebound
5 years, 3 months ago

British PM Boris Johnson’s ’final’ Brexit deal stirs sterling rebound

Live Mint  

London: Sterling rebounded from earlier lows on Wednesday as hedge funds covered some of their short bets against the currency after Prime Minister Boris Johnson made a final Brexit offer to the European Union. Though the final offer met with a relatively cool reception from EU officials, President Jean-Claude Juncker said Britain's proposal included some "positive advances" but there were …

Pound tumbles against dollar and euro as Ireland roundly rejects Boris Johnson's Brexit plan
5 years, 3 months ago

Pound tumbles against dollar and euro as Ireland roundly rejects Boris Johnson's Brexit plan

The Independent  

Sign up to our free Brexit and beyond email for the latest headlines on what Brexit is meaning for the UK Sign up to our Brexit email for the latest insight Sign up to our Brexit email for the latest insight SIGN UP I would like to be emailed about offers, events and updates from The Independent. Read our privacy …

Pound sterling goes on a wild ride amid Brexit turmoil
5 years, 4 months ago

Pound sterling goes on a wild ride amid Brexit turmoil

CNN  

London CNN Business — The pound was whipsawed by political turmoilon Tuesday as UK Prime Minister Boris Johnson sufferedaparliamentary revoltaimed at preventing Britain from leaving the European Union without a deal to protect the economy. Lawmakers succeeded Tuesday night in taking control of the parliamentary agenda so they can attempt to pass legislation outlawing a “no deal” Brexit, unless it …

Pound hits fresh two-year low as Brexit fears spook investors
5 years, 5 months ago

Pound hits fresh two-year low as Brexit fears spook investors

CNN  

London CNN Business — The pound has slumped to its weakest level in more than two years. Prime Minister Boris Johnson has used his first days in office to double down on his threat to leave the European Union on October 31 “no matter what.” Now, fears that Britain will leave the European Union without an agreement in place to …

Boris Johnson’s Brexit plan drives pound lower
5 years, 5 months ago

Boris Johnson’s Brexit plan drives pound lower

CNN  

London CNN Business — Britain is moving closer to the nightmare Brexit scenario businesses have long feared. A major lobby group warned that a disorderly Brexit would disrupt almost every part of the UK economy, and French carmaker PSA said new trade barriers could doom its factory near Liverpool. Michael Gove, the government minister Johnson has put in charge of …

ALEX BRUMMER: Britain takes a pounding
5 years, 5 months ago

ALEX BRUMMER: Britain takes a pounding

Daily Mail  

The dilemma for Bank of England interest rate-setters as they head towards the August meeting and release of the Inflation Report gets tougher by the day. The sharp fall in sterling, as Britain's two prospective prime ministers harden their negotiating positions on Brexit, risks a disorderly few months ahead with the pound moving towards parity against the euro and the …

Branson: Pound could be just a dollar in ‘no-deal’ Brexit
5 years, 6 months ago

Branson: Pound could be just a dollar in ‘no-deal’ Brexit

Associated Press  

LONDON — Virgin Group founder Richard Branson has warned that the pound’s value would fall to that of the dollar if Britain leaves the European Union without a deal — a stark prediction that will fuel worries about the economic pressures facing the country. Traders see the possibility of a ‘no-deal’ Brexit increasing because Boris Johnson, the front-runner in the …

British pound falls amid Brexit fears
5 years, 10 months ago

British pound falls amid Brexit fears

CNN  

London CNN Business — The British pound trimmed some of the losses it suffered during volatile trading on Tuesday after UK lawmakers voted down the latest version of Prime Minister Theresa May’s deal on Brexit. Speaking to lawmakers just minutes after the vote, May said the default scenario is leaving the European Union without a deal on March 29. May …

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