Pound Falls, Volatility Jumps as Polls Show Momentum for Brexit

[Purveyor]

The more the pound is rattled by public opinion, the more attention it gets from the rest of the world.

Sterling dropped to a three-week low versus the dollar after polls showed more Britons favored quitting the EU. That revived concern the June 23 referendum may throw global markets into turmoil and undermine confidence in the 28-nation trading bloc.

Three surveys on Monday showed a lead for the ‘Leave’ campaign. While the U.K. currency pared its earlier declines, a gauge of anticipated swings against the dollar in the next month surged to the highest in more than seven years.

“Today’s move was a function of reality sinking in for overseas investors -- the referendum will be a close outcome,” said Viraj Patel, a foreign-exchange strategist at ING Groep NV in London.

“We’re probably seeing some of those long post-Brexit pound bets unwind.”

As Brexit risks become more imminent, traders and market operators around the world are preparing for the decision. Margin requirements are getting raised, trading hours will be extended London, and investors from Thailand to Boston are waking up to how their positions may be affected if Britons choose to leave the the trading bloc they’ve been in since 1973.

more...

http://www.bloomberg.com/news/articles/2016-06-05/pound-drops-more-than-1-after-weekend-polls-show-brexit-favored

[DonCoquixote]

1. between brexit in Engand

and le Pen in France
and Merkel in Germany
The EU has committed suicide,
and Putin laughs as he realized that he did not need to start a Third World war to defeat Europe.

Not that this is any cause for celebration, especially for Putin's usefulidiots that are about to stop being so useful.

[Drahthaardogs]

4. Had England adopted the Euro like they should have

many of these problems may have never passed in the first place.

[pampango]

2. And the "Trumps" of Europe celebrate 'Brexit'.

http://www.cnn.com/2016/05/15/politics/donald-trump-obama-brexit/

[Sen. Walter Sobchak]

3. Brexit is a suicide pact

It doesn't really matter what the "Falklands War Scrapbookers"* and the Tory pundit class want, in a Brexit situation British industry and financial interests are going to have to choose between the UK and the EU.

They're going to choose the EU. Contemporary Britain owes it's outsized influence and importance to their role as the financial capital of Europe and an English speaking common law gateway to the EU. If that goes away it is going to look like the rapture hit London.

*"Falklands War Scrapbookers" is the least offensive way a former Labour MP who works for us has described the Brexit proponents.

[DonCoquixote]

5. true

It will be like what happened to Hong Kong when Shanghai opened it's doors to trade; people who wanted to do trade with China no longer had to deal with that island that would get a little bit of everything that passed through it.

However, I do not see who would play the role of Shanghai, save for when Moscow eventually walks into the EU door and says "Ok, London, Berlin, Paris, the rest of Europe has gotten tired of how you argue who gets to be Europe's lead singer, and then watch you strangle the EU when it does not become your key to European Domination. WE are taking over, and those countries you called the PIIGS (Portugal Italy ireland Greece Spain) like it. No, we do not need to fire a shot, the Americans will soon leave you anyway as they pivot to China,and realize that investing on you is NOT worth it, any more than it was for us when we wasted so much gold and blood trying to save you from becoming their 51st state.""

[Sen. Walter Sobchak]

6. I would bet on Amsterdam

It's basically an English speaking city, possibly more so than London.

[teamster633]

7. *"Falklands War Scrapbookers" is the least offensive way a former Labour MP...

...has described the Brexit proponents.

Stand down, Maggie.

[Odin2005]

9. "Falklands War Scrapbookers" LMAO!

MY SIDES!!!

[Sen. Walter Sobchak]

10. He has better material, but it would be quickly hidden

He also has very colorful things to say about Jeremy Corbyn.

[Odin2005]

8. The neo-nationalism in Europe is proof that Europeans...

...are idiots who learned nothing from the world wars. The EU, back to it's origins as a body coordinating coal and steel in France, West Germany, and the low countries, came into being specifically to tie the major European states together in such a way to make another major European war impossible.

[Sen. Walter Sobchak]

11. Their problems are much the same as ours

Like the French and Germans can't keep Italy and Spain from running amok, we can't keep Florida and Kansas from running amok. This breeds enormous resentment.