FX Analysts Predict Pound's Growth After Brexit End

Forex News

The British pound fell sharply after the surprise June 2016 referendum result when Britons voted to withdrawal from the EU. The UK is scheduled to depart the EU on March 29, 2019. There will be a transition period after this date lasting until the end of December 2020, during which the finer details of Britain’s future relationship with the EU will be ironed out.

Since the referendum result, the pound has swung wildly. It reached a post-referendum high above $1.43 in April before hopes of a May rate hike from the BoE were dashed. Many analysts predict, that the pound won’t show significant movement before the UK will leave the European Union in March next year. Still, it is forecast, that the British currency will significantly strengthen after Brexit process end.

In a year from now, the pound will be worth more $1.39. While that is just a touch weaker than the $1.41 predicted in June it is well below a recent high above $1.43, and nearly 10 cents below where it was just before the referendum result over two years ago. Meanwhile, no significant moves are no predicted against the euro.