The Pounds offers the best of the developed countries' currencies, with the end of the BREXIT problem coming to an end, Goldman said.
"We are seeing the end of this saga," Bloomberg told Zach Pandl (Goldman's currency strategist) after UK Parliament rejected all the alternatives proposed by Prime Minister Theresa May for leaving the EU. "We see progress despite the negative votes," says Pandl.
Instead of stalemate and chaotic "no-deal" scenarios, Zach Pandl sees the situation as soft Brexit, where we will see temporary agreements on borders and a proposal for a second referendum.
Parliament rejected the proposal to remain in the EU trade agreement with only 3 more votes, which will inevitably lead to a new vote on Wednesday.
"Sterling gives the best trades, especially after seeing a close of $ 1.30 66 after the Hong Kong session at 9:49 am." says Zach Pandl
In between, Goldman temporarily dropped the offer for USDJPY shorts.
"Our data says we are far from the end of the global industrial cycle, making JPY purchases quite risky in the short term." added Pandl
Source: Bloomberg Finance L.P.
Graphs: Used with permission of Bloomberg Finance L.P.
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