Where Currency Analysts Think the Pound Will Go Next
- Parliament backs May to seek concessions from a defiant EU
- Currency analysts say investors may be too optimistic for deal
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The pound may be holding ground after U.K. Prime Minister Theresa May’s Brexit victory in Parliament, but some in the market say investors are too optimistic.
While the currency fell Tuesday after lawmakers rejected a plan to delay Britain’s exit from the European Union in favor of sending May back to Brussels to secure concessions on the withdrawal deal, it’s advanced this year amid hope the two sides will eventually find a way forward. However, given the EU’s refusal to reopen negotiations, some think it is only a matter of time before reality bites and sterling weakness reemerges.