Hedge funds bullish on GBP – Blueprint Capital

FXStreet (Barcelona) - The Blueprint Capital FX Team, shares that large bets are being placed on the GBP with many fund managers anticipating a rise in its value post the elections.

Key Quotes

“Large bets are being placed by fund managers on the value of the pound rising after the general election, which is contrary to the prevailing view in the market, with some even suggesting any outcome would be negative for the pound. This consensus view is that an SNP-Labour coalition would be bad for business, with proposed caps on retail banks’ market shares and other reforms, which could affect the City.”

“However, even if a Conservative government is re-elected, a promise for a Euro-Zone referendum could also cause uncertainty within the markets, adding to the lose-lose mentality.”