Somehow I think not. It wouldn't surprise me to see a gradual return to pre-Brexit value for the pound within two weeks. A weak pound would affect way too many investments. It would cause a rise in Taxes and interest rates for the UK.
Something tells me that would not be in line with the way interest rates have been artificially surpressed by the EU and America.
If interest rates were to rise in the UK, then they would in fact have a knock on effect to Europe and the US, and a lot more people in the US will default on their loans and mortages. Back to another banking crisis for the Americans which would end up affecting the EU.
Seeing a rate rise too quickly would be suspicious! I think within two weeks the pound will reach 1.25 exchange rate for actual euro purchases. I suspect within four it might make 1.27. Meanwhile it would have to rise against the Dollar, so I am guessing it will close at about 1.37 within a fortnight and be back up to 1.42 in a month.
Perhaps this is when the real Eurocontagion will start, and the policies and direction of Europe will definately become highly scrutinized.
I hope the Americans and Chinese have stocked up on Scottish Whiskey and shortbread this week while they could get it cheap. That will certainly appease the very angry Scots.
Something tells me that would not be in line with the way interest rates have been artificially surpressed by the EU and America.
If interest rates were to rise in the UK, then they would in fact have a knock on effect to Europe and the US, and a lot more people in the US will default on their loans and mortages. Back to another banking crisis for the Americans which would end up affecting the EU.
Seeing a rate rise too quickly would be suspicious! I think within two weeks the pound will reach 1.25 exchange rate for actual euro purchases. I suspect within four it might make 1.27. Meanwhile it would have to rise against the Dollar, so I am guessing it will close at about 1.37 within a fortnight and be back up to 1.42 in a month.
Perhaps this is when the real Eurocontagion will start, and the policies and direction of Europe will definately become highly scrutinized.
I hope the Americans and Chinese have stocked up on Scottish Whiskey and shortbread this week while they could get it cheap. That will certainly appease the very angry Scots.
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