A top bank has warned clients to stop trading the pound ahead of tonight’s Brexit vote.
Theresa May could face a huge defeat in the Commons as MPs vote on her strongly-opposed Brexit deal.
Bloomberg reported that Citi Private Bank advised clients against trading the pound today during a briefing in Singapore.
David Bailin, global head of investments, told clients: “Over the next 24 hours what all we’re going to find out is the degree to which May loses, how much she loses by.
“That is not something that one actually trades on.”
The Pound hit its highest exchange rate against the Dollar since November 26 on Tuesday morning at 1.29.
It was also performing well against the Euro, peaking at 1.125.
According to experts, tonight’s vote could cause “considerable volatility in the Pound if it is rejected as expected.”
TorFX Senior Account Manager Luke Trevail said: “The Pound (GBP) edged slightly higher yesterday as markets took stock of the situation ahead of the ‘meaningful vote’ on Theresa May’s Brexit deal.
“Sterling briefly rose at the tail end of the session however following reports that a pro-Brexit faction within the Conservative Party may back the government’s deal.
“The vote itself is set to take place later this evening and is expected to result in considerable volatility in the Pound if it is rejected as expected.”
