GBP: To Position For A Brexit Deal; Buy GBP/CHF Targeting 1.25
Credit Agricole CIB Research likes long GBP/CHF exposure on the prospect of a Brexit EU-UK trade deal targeting a move towards 1.25.
"Our central case remains that a ‘bare -bones’ Free Trade Agreement (FTA) will be agreed between the UK and the EU. We continue to think that a trade deal is in the best interest of both the EU and the UK," CACIB notes.
"Subsequently, we think that there is a non -negligible risk that the UK and the EU will agree to a partial trade deal, focusing on the topics where the two sides can compromise. To the extent that this outcome nevertheless gives the Brexit saga a sense of finality, even a partial Brexit deal could propel the GBP higher across the board and especially vs overvalued and low -yielding currencies like the CHF," CACIB adds.
"Our central case remains that a ‘bare -bones’ Free Trade Agreement (FTA) will be agreed between the UK and the EU. We continue to think that a trade deal is in the best interest of both the EU and the UK," CACIB notes.
"Subsequently, we think that there is a non -negligible risk that the UK and the EU will agree to a partial trade deal, focusing on the topics where the two sides can compromise. To the extent that this outcome nevertheless gives the Brexit saga a sense of finality, even a partial Brexit deal could propel the GBP higher across the board and especially vs overvalued and low -yielding currencies like the CHF," CACIB adds.
إخلاء المسؤولية
لا يُقصد بالمعلومات والمنشورات أن تكون، أو تشكل، أي نصيحة مالية أو استثمارية أو تجارية أو أنواع أخرى من النصائح أو التوصيات المقدمة أو المعتمدة من TradingView. اقرأ المزيد في شروط الاستخدام.