They said to sell it at 1.6380 earlier this week for a more to 1.5720…Don’t know about the 1.5720 part but they have barely spent a minute in the read on this position…
GBP continues to struggle amid stagflation, the combination of high inflation and stagnant economic growth, among the thorniest problems a central bank could face. The only thing that cured the US of stagflation in the 1970s was a deep recession that trampled inflation for a generation, engineered by Paul Volcker.
The UK is a long way from the situation we saw in the ’70s , just yet. At least they’ve got that going for them, which is nice…
Cable trades now at 1.6120, down from just above 1.6200 late in London…
