GBP seen lower on a Brexit vote defeat - Nomura

Analysts at Nomura offer their outlook on the GBP, in the wake of the upcoming Brexit parliamentary vote on January, 15th.

Key Quotes:

“In the event of a loss on the vote and Labour calling a no-confidence vote.

Pound probably lower.

Will then rally when its clear Labour doesn't have the numbers to win a no confidence vote.

See GBP with limited downside in long-term positions.

Downside risks to receive lower pricing in coming weeks.

Speculators are looking for stronger GBP in the next few months.”