Watching the euro-sterling rate writhe and wriggle, following the ins and outs of the machinations surrounding political intrigue over either a no-deal Brexit or the blocking of a no-deal Brexit is a joyless pursuit.
Every utterance and report of plotting, elections, caretaker P.M’s, binning the backstop, tweaking the backstop, food shortages, violence on the streets and much more, brings a new wriggle to the markets to play with.
The pound was trading at €1.07, then bounced back up to €1.10 mid month. Just goes to show that the currency analysts still have no firmer idea than anyone else how things will pan out - although it is looking resolutely like a UK exit come Halloween. A new election seems certain in the short term also.
All of the Brexit uncertainty wrapped into the indicators that the global economy may be heading into a recessionary period adds up to a very bleak 2020 assessment. But then again if one had 20:20 vision about what was coming down the road, one could easily buck the market.
