Morgan Stanley analysts advised investors to buy the pound against the yen, and the Swedish krona versus the euro.
“The recent gross domestic product data is potentially a game-changer for the pound,” Stephen Hull, head of global currency strategy in London, wrote in a research report dated yesterday. “In a world where there isn’t much value to be found in currencies, the krona is one of the least expensive.”
Sterling rose 1.2 percent against the yen since Oct. 25, the day before data showed the U.K. economy grew 0.8 percent in the third quarter, twice as much as economists forecast. It traded at 128.56 yen as of 7:04 a.m. in London.
To contact the reporter on this story: Paul Dobson in London at firstname.lastname@example.org
To contact the editor responsible for this story: Daniel Tilles at email@example.com