Pound heads sharply lower on Brexit concerns

[webfact]

Pound Heads Sharply Lower On Brexit Concerns

Sterling sinks to a near seven-year low against the US dollar after Boris Johnson fails to back David Cameron's EU reform deal.

LONDON: -- The pound has fallen sharply after a series of political heavyweights threw their weight behind a UK exit from the European Union.

Sterling dropped by up to 3% during the day, touching a near seven-year low against the US dollar, at times nearing $1.40. It has not seen such lows since March 2009.

It regained some ground later on but the falls gave the pound its steepest one-day decline versus the US currency since early 2009 at the height of the recession.

Full story: http://news.sky.com/story/1646224/pound-heads-sharply-lower-on-brexit-concerns

-- sky NEWS 2016-02-23

[webfact]

British Pound Plummets over Fears of British Exit from the European Union

LONDON – The British pound suffered its biggest drop in more than six years on Monday, as fears that the U.K. will leave the European Union intensified after London Mayor Boris Johnson came out in favor of a “Brexit”.

Sterling GBPUSD, -2.2839% plunged to $1.4094, down 2.2% from its late Friday level of $1.4405 in New York. The slump is the biggest loss for the pound against the dollar since 2009, easily dwarfing the moves seen in the run-up to the Scottish independence referendum.

Monday’s fall reverses a gain for the pound made late Friday, when U.K. Prime Minister David Cameron struck a deal with the European Union to change his country’s relationship with the bloc. The deal came after days of difficult negotiations with other EU leaders in Brussels, capping months of intensive lobbying and uncertainty over whether an agreement could be reached this winter.

Full story: http://www.chiangraitimes.com/british-pound-plummets-over-fears-of-british-exit-from-the-european-union.html


-- Chiang Rai Times 2016-02-23

[terryp]

Pound will bounce , the real story that is being hidden is the G20 meeting that is being held in Shanghai this weekend…..analyst’s are predicting the possible introduction of Q4 BUT more likely the de-valuation of the Yuan Euro & $US …next week is going to be very interesting

[SheungWan]

The Brexit Advisory Committee on Soi Buakaow will be spluttering over their bottles of Leo the next month or so. Life can be so unfair!

[stevenl]

Pound will bounce , the real story that is being hidden is the G20 meeting that is being held in Shanghai this weekend…..analyst’s are predicting the possible introduction of Q4 BUT more likely the de-valuation of the Yuan Euro & $US …next week is going to be very interesting

Look at the development of the pound since WWII: a steady decline. The pound will not rebound, simply because the economic value of the UK is on the decline.

[sanukjim]

Because The UK can not afford to leave The EU.The thinking is that if they did then Scotland would leave The UK and they are a large source of income to loose Then what industries is England left with? So dropping the value opf the pound at this time might send a signal to the big money people "not to back" leaving.

[sanukjim]

Pound will bounce , the real story that is being hidden is the G20 meeting that is being held in Shanghai this weekend…..analyst’s are predicting the possible introduction of Q4 BUT more likely the de-valuation of the Yuan Euro & $US …next week is going to be very interesting

All money when devalued is done so against other currencies,so which ones will rise ? You can not lower the value of ALL moneys together.

[robblok]

Because The UK can not afford to leave The EU.The thinking is that if they did then Scotland would leave The UK and they are a large source of income to loose Then what industries is England left with? So dropping the value opf the pound at this time might send a signal to the big money people "not to back" leaving.

Yes once Scotland leaves then the pound will go lower and lower, but I don't think that should stop the UK from leaving the EU. It will only hit expats anyway and they seem to be all in favor for leaving the EU so they would not mind much just a small sacrifice.

[sanukjim]

Pound will bounce , the real story that is being hidden is the G20 meeting that is being held in Shanghai this weekend…..analyst’s are predicting the possible introduction of Q4 BUT more likely the de-valuation of the Yuan Euro & $US …next week is going to be very interesting

Look at the development of the pound since WWII: a steady decline. The pound will not rebound, simply because the economic value of the UK is on the decline.

Very true stevent,and that is why The UK can not afford to leave The EU.

[sanukjim]

Because The UK can not afford to leave The EU.The thinking is that if they did then Scotland would leave The UK and they are a large source of income to loose Then what industries is England left with? So dropping the value opf the pound at this time might send a signal to the big money people "not to back" leaving.

Yes once Scotland leaves then the pound will go lower and lower, but I don't think that should stop the UK from leaving the EU. It will only hit expats anyway and they seem to be all in favor for leaving the EU so they would not mind much just a small sacrifice.

It will hit hard on the people in England also as prices on commodities will be sharply up.

[robblok]

Because The UK can not afford to leave The EU.The thinking is that if they did then Scotland would leave The UK and they are a large source of income to loose Then what industries is England left with? So dropping the value opf the pound at this time might send a signal to the big money people "not to back" leaving.

Yes once Scotland leaves then the pound will go lower and lower, but I don't think that should stop the UK from leaving the EU. It will only hit expats anyway and they seem to be all in favor for leaving the EU so they would not mind much just a small sacrifice.

It will hit hard on the people in England also as prices on commodities will be sharply up.

Surely the UK has some products they don't have to import and who knows they might start to make products themselves. I think its the expats on pensions that will be hit hardest. It might be a blessing if the UK will go all protectionist and create their own market, it will take a while 10 of years.. but it might work. But until that time (switching takes time) the expats will suffer.

But as most do want the UK to leave Europe its a small sacrifice for their conviction. I know that I would have loved to pay for the EU kicking out Greece. It would have hurt me financially but it would have been worth it to me. i am sure the real anti EU Brits would not mind the loss of income. Its a principle matter for sure, just a few beers less.. or a few ladies of the night less. But then they know that they are boss in their own country again.

[SgtRock]

robblok, on 23 Feb 2016 - 09:11, said:

sanukjim, on 23 Feb 2016 - 08:42, said:

robblok, on 23 Feb 2016 - 08:39, said:

sanukjim, on 23 Feb 2016 - 08:34, said:

Because The UK can not afford to leave The EU.The thinking is that if they did then Scotland would leave The UK and they are a large source of income to loose Then what industries is England left with? So dropping the value opf the pound at this time might send a signal to the big money people "not to back" leaving.

Yes once Scotland leaves then the pound will go lower and lower, but I don't think that should stop the UK from leaving the EU. It will only hit expats anyway and they seem to be all in favor for leaving the EU so they would not mind much just a small sacrifice.

It will hit hard on the people in England also as prices on commodities will be sharply up.

Surely the UK has some products they don't have to import and who knows they might start to make products themselves. I think its the expats on pensions that will be hit hardest. It might be a blessing if the UK will go all protectionist and create their own market, it will take a while 10 of years.. but it might work. But until that time (switching takes time) the expats will suffer.

But as most do want the UK to leave Europe its a small sacrifice for their conviction. I know that I would have loved to pay for the EU kicking out Greece. It would have hurt me financially but it would have been worth it to me. i am sure the real anti EU Brits would not mind the loss of income. Its a principle matter for sure, just a few beers less.. or a few ladies of the night less. But then they know that they are boss in their own country again.

Priceless.

Thank you.

[12DrinkMore]

The UK has a long and proud tradition of trashing the Quid, either through incompetent leadership or in a beggar thy neighbour approach to gaing a short term trade advantage.

The Brexit discussion is a total waste of time and money, just something to keep the population busy talking about something whilst the politicians are screwing them from behind.

The European Unity is something invented by, constructed for and used to the sole advantage of the "political profession". It is a huge source of highly paid "jobs for the boys", and gives them another layer to get promoted into above the National level.

The whole edifice will never go away, there is far too much political will to keep it going, regardless of how much the European people will suffer.

[SgtRock]

12DrinkMore, on 23 Feb 2016 - 09:49, said:

The UK has a long and proud tradition of trashing the Quid, either through incompetent leadership or in a beggar thy neighbour approach to gaing a short term trade advantage.

The Brexit discussion is a total waste of time and money, just something to keep the population busy talking about something whilst the politicians are screwing them from behind.

The European Unity is something invented by, constructed for and used to the sole advantage of the "political profession". It is a huge source of highly paid "jobs for the boys", and gives them another layer to get promoted into above the National level.

The whole edifice will never go away, there is far too much political will to keep it going, regardless of how much the European people will suffer.

I would like to think that with the advent of the internet, where Politicians can no longer sweep things under the carpet, hide or just plain lie is a thing of the past.

People are now becoming wiser and see the EU for what it really is. Hopefully they will vote accordingly.

[Linesy]

I wouldn't think a Brexit would be too good for the Euro either.

[robblok]

I wouldn't think a Brexit would be too good for the Euro either.

Probably not but a lesser impact as it is spread out over a larger economy. But it can't be positive. But so far no sharp decline of the Euro and there is of the pound. So that does show the impact will be harder on the Pound. But I agree its not positive for the Euro.

Edited February 23, 2016 by robblok

[daveAustin]

Because The UK can not afford to leave The EU.The thinking is that if they did then Scotland would leave The UK and they are a large source of income to loose Then what industries is England left with? So dropping the value opf the pound at this time might send a signal to the big money people "not to back" leaving.

Yes once Scotland leaves then the pound will go lower and lower, but I don't think that should stop the UK from leaving the EU. It will only hit expats anyway and they seem to be all in favor for leaving the EU so they would not mind much just a small sacrifice.

It will hit hard on the people in England also as prices on commodities will be sharply up.

Surely the UK has some products they don't have to import and who knows they might start to make products themselves. I think its the expats on pensions that will be hit hardest. It might be a blessing if the UK will go all protectionist and create their own market, it will take a while 10 of years.. but it might work. But until that time (switching takes time) the expats will suffer.

But as most do want the UK to leave Europe its a small sacrifice for their conviction. I know that I would have loved to pay for the EU kicking out Greece. It would have hurt me financially but it would have been worth it to me. i am sure the real anti EU Brits would not mind the loss of income. Its a principle matter for sure, just a few beers less.. or a few ladies of the night less. But then they know that they are boss in their own country again.

Gawd, you people talk tosh. Manufacturing for example is one the biggest earners for the UK -- automotive, aerospace, building services etc. It is one of Europe's biggest players on that score. The oil from Scotland is a sliver in comparison to manufacturing (mostly in England) and not forgetting that a significant proportion is in English waters and the unattractive price of oil currently! Scotland leaving UK would screw them and reason those with half a brain voted no. They also wouldn't immediately reap big benefits even if oil price corrects due to the massive investment by BP that would need to be taken into consideration. There is also the case of the huge subsidy it reaps from the UK through the Barnett Formula. What else does Scotland make? Whisky would hardly hold it up. lol

Bottom line, the English economy is huge and trending upwards long term, more people than ever are in work and if anything the falling pound is a plus as it makes exporting even more lucrative and more attractive for foreign investment. A dipping currency does not a failing state make. Carry on children.

[Grouse]

Pound will bounce , the real story that is being hidden is the G20 meeting that is being held in Shanghai this weekend..analysts are predicting the possible introduction of Q4 BUT more likely the de-valuation of the Yuan Euro & $US next week is going to be very interesting

Devaluation of Yuan AND Euro AND USD? Against what? The Rupee?

[petermik]

The Brexit Advisory Committee on Soi Buakaow will be spluttering over their bottles of Leo the next month or so. Life can be so unfair!

The "committee" in their wisdom have already negotiated a "healthy discount" from the Thai major brewers foreseeing any possible lowering of the pound (sub 50)

Gift tokens are being given for each bottle purchased (rather like the highly successful Green Shield Stamp,s) which will result in a BOGOF (buy one get one free)

promotion.

Any British ex-pat also producing his pension book in the participating establishments will also receive a complimentary Sangsom and mixer to start his evening off on the right footing.

The "committee" wishes to express thanks to ALL the bar owners participating in this unique scheme which covers Bars AND Go Go,s in the soi Bukhaow/LK Metro and soi Diana areas.

Rule Brittania

[Grouse]

robblok, on 23 Feb 2016 - 09:11, said:

sanukjim, on 23 Feb 2016 - 08:42, said:

robblok, on 23 Feb 2016 - 08:39, said:

sanukjim, on 23 Feb 2016 - 08:34, said:

Because The UK can not afford to leave The EU.The thinking is that if they did then Scotland would leave The UK and they are a large source of income to loose Then what industries is England left with? So dropping the value opf the pound at this time might send a signal to the big money people "not to back" leaving.

Yes once Scotland leaves then the pound will go lower and lower, but I don't think that should stop the UK from leaving the EU. It will only hit expats anyway and they seem to be all in favor for leaving the EU so they would not mind much just a small sacrifice.

It will hit hard on the people in England also as prices on commodities will be sharply up.

Surely the UK has some products they don't have to import and who knows they might start to make products themselves. I think its the expats on pensions that will be hit hardest. It might be a blessing if the UK will go all protectionist and create their own market, it will take a while 10 of years.. but it might work. But until that time (switching takes time) the expats will suffer.

But as most do want the UK to leave Europe its a small sacrifice for their conviction. I know that I would have loved to pay for the EU kicking out Greece. It would have hurt me financially but it would have been worth it to me. i am sure the real anti EU Brits would not mind the loss of income. Its a principle matter for sure, just a few beers less.. or a few ladies of the night less. But then they know that they are boss in their own country again.

Priceless.

Thank you.

Well thanks all you wise "Out" people!

Just cost me GBP7,500 at a stroke. Will have to leave those funds in UK until referendum confirms stay in and GBP rebounds

[RuamRudy]

Because The UK can not afford to leave The EU.The thinking is that if they did then Scotland would leave The UK and they are a large source of income to loose Then what industries is England left with? So dropping the value opf the pound at this time might send a signal to the big money people "not to back" leaving.

Yes once Scotland leaves then the pound will go lower and lower, but I don't think that should stop the UK from leaving the EU. It will only hit expats anyway and they seem to be all in favor for leaving the EU so they would not mind much just a small sacrifice.

It will hit hard on the people in England also as prices on commodities will be sharply up.

Surely the UK has some products they don't have to import and who knows they might start to make products themselves. I think its the expats on pensions that will be hit hardest. It might be a blessing if the UK will go all protectionist and create their own market, it will take a while 10 of years.. but it might work. But until that time (switching takes time) the expats will suffer.

But as most do want the UK to leave Europe its a small sacrifice for their conviction. I know that I would have loved to pay for the EU kicking out Greece. It would have hurt me financially but it would have been worth it to me. i am sure the real anti EU Brits would not mind the loss of income. Its a principle matter for sure, just a few beers less.. or a few ladies of the night less. But then they know that they are boss in their own country again.

Gawd, you people talk tosh. Manufacturing for example is one the biggest earners for the UK -- automotive, aerospace, building services etc. It is one of Europe's biggest players on that score. The oil from Scotland is a sliver in comparison to manufacturing (mostly in England) and not forgetting that a significant proportion is in English waters and the unattractive price of oil currently! Scotland leaving UK would screw them and reason those with half a brain voted no. They also wouldn't immediately reap big benefits even if oil price corrects due to the massive investment by BP that would need to be taken into consideration. There is also the case of the huge subsidy it reaps from the UK through the Barnett Formula. What else does Scotland make? Whisky would hardly hold it up. lol

Bottom line, the English economy is huge and trending upwards long term, more people than ever are in work and if anything the falling pound is a plus as it makes exporting even more lucrative and more attractive for foreign investment. A dipping currency does not a failing state make. Carry on children.

Ignorance or arrogance - I am not sure which is the underlying source of so much misrepresentation in your post, but the truth is readily available should it wish to seek it out.

[Grouse]

Because The UK can not afford to leave The EU.The thinking is that if they did then Scotland would leave The UK and they are a large source of income to loose Then what industries is England left with? So dropping the value opf the pound at this time might send a signal to the big money people "not to back" leaving.

Yes once Scotland leaves then the pound will go lower and lower, but I don't think that should stop the UK from leaving the EU. It will only hit expats anyway and they seem to be all in favor for leaving the EU so they would not mind much just a small sacrifice.

It will hit hard on the people in England also as prices on commodities will be sharply up.

Surely the UK has some products they don't have to import and who knows they might start to make products themselves. I think its the expats on pensions that will be hit hardest. It might be a blessing if the UK will go all protectionist and create their own market, it will take a while 10 of years.. but it might work. But until that time (switching takes time) the expats will suffer.

But as most do want the UK to leave Europe its a small sacrifice for their conviction. I know that I would have loved to pay for the EU kicking out Greece. It would have hurt me financially but it would have been worth it to me. i am sure the real anti EU Brits would not mind the loss of income. Its a principle matter for sure, just a few beers less.. or a few ladies of the night less. But then they know that they are boss in their own country again.

Gawd, you people talk tosh. Manufacturing for example is one the biggest earners for the UK -- automotive, aerospace, building services etc. It is one of Europe's biggest players on that score. The oil from Scotland is a sliver in comparison to manufacturing (mostly in England) and not forgetting that a significant proportion is in English waters and the unattractive price of oil currently! Scotland leaving UK would screw them and reason those with half a brain voted no. They also wouldn't immediately reap big benefits even if oil price corrects due to the massive investment by BP that would need to be taken into consideration. There is also the case of the huge subsidy it reaps from the UK through the Barnett Formula. What else does Scotland make? Whisky would hardly hold it up. lol

Bottom line, the English economy is huge and trending upwards long term, more people than ever are in work and if anything the falling pound is a plus as it makes exporting even more lucrative and more attractive for foreign investment. A dipping currency does not a failing state make. Carry on children.

Manufacturing accounts for less than 10% of the U.K. Economy down from 25% in the 1970s.

We can not rely upon devaluation to boost exports these days. Do you need me to list the countries that would beat us at that game?

Don't forget, import prices have just risen by 3%!

I recall when the Deutschmark was high against Sterling. Didn't help us selling poor quality cars to Germany or stop the Germans selling high quality cars to us!

Bit of a read up on economics me thinks....

[tartempion]

As the euro took A dive with the Greek thieves I hope the Brexit will provide for a recovery, not transferring euros before late June.

[SgtRock]

Quote

Well thanks all you wise "Out" people!

Just cost me GBP7,500 at a stroke. Will have to leave those funds in UK until referendum confirms stay in and GBP rebounds

Indulge me. I am intrigued as to how the wise '' Out '' people have just cost you £ 7,500 at a stroke. Perhaps you could explain ?

Quote

I recall when the Deutschmark was high against Sterling. Didn't help us selling poor quality cars to Germany or stop the Germans selling high quality cars to us!

The strength of the £ or DM had absolutely no bearing on this. Why would a German buy a poor quality car ? Likewise, why would a Brit buy an inferior product when it was easy to buy an Audi, BMW or a Merc.

Nothing to do with money and everything to do with quality.

[fredob43]

I don't know what all the panic is about the £ has only dropped 1bt. Peanuts against the 43

it stood at last year.

[steve187]

Scotland costs the Uk more than it gives back, i say rebuild hadrian wall and let scotland stew, if they want out of the UK, Sturgeon is a pain, always poking her nose into british affairs, she isn't even a MP,

The £ will do what the £ does, its up and down like a fidders elbow anyway, even in the EU.

Lets be rid of all the foreign influances and be done with it, yes it will be tough, but no toughter than in the past.

[RuamRudy]

Scotland costs the Uk more than it gives back, i say rebuild hadrian wall and let scotland stew, if they want out of the UK, Sturgeon is a pain, always poking her nose into british affairs, she isn't even a MP,

The £ will do what the £ does, its up and down like a fidders elbow anyway, even in the EU.

Lets be rid of all the foreign influances and be done with it, yes it will be tough, but no toughter than in the past.

She is British, and is the leader of the elected party which represents 6 million people. Why should she not get involved in British affairs?

Why stick at Scotland? Many areas of the UK cost more than they contribute. Maybe build a wall round London?

[Grouse]

Quote

Well thanks all you wise "Out" people!

Just cost me GBP7,500 at a stroke. Will have to leave those funds in UK until referendum confirms stay in and GBP rebounds

Indulge me. I am intrigued as to how the wise '' Out '' people have just cost you £ 7,500 at a stroke. Perhaps you could explain ?

Quote

I recall when the Deutschmark was high against Sterling. Didn't help us selling poor quality cars to Germany or stop the Germans selling high quality cars to us!

The strength of the £ or DM had absolutely no bearing on this. Why would a German buy a poor quality car ? Likewise, why would a Brit buy an inferior product when it was easy to buy an Audi, BMW or a Merc.

Nothing to do with money and everything to do with quality.

SgtRock, do you really not understand? Let me explain as simply as I can!

1) I was going to bring over 250,000 GBP. That is now worth 3% less in TBT terms approx. Directly caused by Boris and the silly people spouting about leaving the EU. "wise" was irony. OK now?

2) You are just underlining my point. Trying to export more by devaluing currency does not work for our kind of economy. Innovation and quality is key. We should copy the way the German Mittelstand work if we want increase exports. Got it?

Edited February 23, 2016 by Grouse

[brewsterbudgen]

Pound will bounce , the real story that is being hidden is the G20 meeting that is being held in Shanghai this weekend…..analyst’s are predicting the possible introduction of Q4 BUT more likely the de-valuation of the Yuan Euro & $US …next week is going to be very interesting

Look at the development of the pound since WWII: a steady decline. The pound will not rebound, simply because the economic value of the UK is on the decline.

Very true stevent,and that is why The UK can not afford to leave The EU.

Hopefully they will show sense and not vote for economic suicide!

[robblok]

I read quite a bit of the big banks are considering leaving London if the UK goes out of the EU would be a massive loss of income and importance of the UK financial sector.

I am not so sure its a good Idea for the UK to leave, I do know that it would hurt the Dutch too as we are a trading partner of the UK and new barriers would cost us all money.

Lets see how it goes.