Posted on 07/06/2016 7:35:02 AM PDT by Cronos
The pound sank to a fresh 31-year low against the dollar on Wednesday amid growing signs that the shock Brexit vote is already damaging the UK economy.
Sterling hit a low of $1.2796 at one point as investors lost confidence in Britain’s future outside the European Union and piled out of the UK currency.
The last time the pound was lower was in June 1985, but it has still got a way to fall before hitting its all time low against the dollar of $1.0520, struck on 1 March 1985.
Sterling has plunged almost 15% since a poll published on 23 June – the day of the referendum – wrongly indicated Britain had voted to stay in the EU, pushing the UK currency above $1.50. The pound also fell to a near three-year low against the euro at €1.1741.
On the stock market, there were fresh falls for housebuilders, which have been hard hit since the referendum result, and the suspension of three major commercial property funds. M&G Investments and Aviva Investors barred investors from withdrawing cash from their property funds on Tuesday amid fears of a crash in the commercial property market and Standard Life made the same move a day earlier.
(Excerpt) Read more at theguardian.com ...
Boy, I wish this happened a year ago. :(
Good time to plan a visit?
>>Against the dollar<< (making the effect more dramatic than it actually is) The dollar is on an apparent tear because (IMO) many Euro banks are buying US Tsys with full abandon because they are virtually every bit as leveraged as they were pre-2008, and since they are offering negative rates, *ANY* yield is attractive to them. Even near record lows in Tsy yields do not matter. We are talking whole countries buying US Tsys, this is like teenage girls buying Bieber CDs. This is the first day in 3-5 days that TNX in the guise of TLT has taken a break from rising at least $1 which is .6 or .7% which translates into maybe a .1% pure interest rate drop.
The TNX ten year is under 1.40%
We go further and further into synthetic-land. I find it ominous. One day, this breaks.
I bought a Saville Row suit at a deep discount and the tailor delivered it in New York the next month (I was a NYer then).
And eating out was simply amazing. Ate at the very best restaurants for what seemed like nothing.
The Royal Bank of Scotland is trying it’s best to Kill it
Time to buy a new Triumph ??
How can $1.28 be a 31 year low when the 1985 (31 years ago according to my calculator) low was $1.05?
The Guardian must be using its globul warming editors to cherry pick data.
A $1 million London flat 9 days ago is $720,000 now. Nice sale.
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