The pound has soared against the dollar and the euro as the General Election exit poll predicts a huge Tory majority.
The exit poll predicts the Conservatives will win 368 seats in the election, with Labour taking just 191.
Almost as soon as the results of the poll were announced the pound hit an 18-month high against the dollar, up 2.21 per cent to 1.347 dollars.
Against the euro, the pound is also almost back to the levels it was prior to the Brexit referendum in 2016, rising 1.38 per cent to 1.205 euros.
Reaction from the city was one of relief with experts expecting a "comfortable" evening following the announcement of the poll results.
Neil Wilson, chief market analyst at Markets.com, said: "Markets hate uncertainty but they would have hated a Corbyn government a lot more.
"This looks like a comfortable evening ahead - the margin of victory is huge and even if it is not quite as big as the exit poll indicates, the Conservatives will still have a huge majority."
Dean Turner, an economist at UBS Wealth Management, said: "We've long said that sterling looks a very cheap currency. If Brexit is indeed completed by the end of January, we see the pound trading as high as 1.35 against the US dollar.
"However, a long-term lack of clarity on Brexit and sterling to produce minimal UK earnings growth next year."
