Home https://server7.kproxy.com/servlet/redirect.srv/sruj/smyrwpoii/p2/ Business https://server7.kproxy.com/servlet/redirect.srv/sruj/smyrwpoii/p2/ The pound is a Brexit barometer. Now it does not look very much.

The pound is a Brexit barometer. Now it does not look very much.

<img alt = "Amie Tsang" title = "Amie Tsang" src = "https://static01.nyt.com/images/2019/07/16/reader-center/author-amie-tsang/author- amy-tsang-thumbLarge The British currency fell to a two-year low last week, falling below 1.24 dollars after the fears of a non-bargain Brexit have increased, and long seen as a symbol of Britain ) stability pride, the pound in recent years has become a barometer of worries about the country and of its deviation from the European Union may also harm the country's ability to buy goods from other destinations especially at a time when it will have to negotiate a trade agreement

The fluctuations of the currency seem to continue, on Tuesday the heir of the current Prime Minister, Theresa May Boris Johnson, a solid supporter of Brexit, is elected, which raises questions about how smoothly the country will be.

Since May, when the besieged prime minister announced he would withdraw, Britain's prospect of disintegration from the European Union – leaving it unconditional for divorce conditions – began to appear more likely. Many in the United Kingdom fear that the so-called Brexit will not create chaos, and the British Budget Liability Office said a week that it would triggered a 30 billion pound hit for public finances.

On Thursday, British lawmakers adopted a measure aimed at preventing the next prime minister from suspending Parliament and imposing Brexit. (Mr. Johnson hinted he could take such a step.) However, uncertainty over the next few months is likely to cut the pound.

The pound is about 15% lower than before the vote leaves. But it is still above the lowest levels that hit in January 2017 when Ms. May proposed Britain to leave the UK. without rigid agreements. The prospect of a loss of duty-free access to the single European markets and the continuing uncertainty surrounding the UK's departure conditions forced the currency to collapse. Last week, analysts at Morgan Stanley even raised the question that if Britain breaks out of the European Union, the pound can reach parity against the dollar.

Although the pound is perceived as a symbol of the country's independence, it is sometimes linked to international events.

Source link