The pound could dive a further 10% in as little as a week if a 'yes' vote on Scotland is approved, witnessing a sell-off reminiscent of sterling's fall on Black Wednesday more than 20 years ago, a manager has warned.
Sterling has already tumbled sharply on fears over a split with Scotland which is decided this Thursday, but Miton's George Godber has warned it could fall much further if the vote for independence wins. Speaking this morning, almost 22 years to the day since Black Wednesday when the pound tumbled after being forced out of the European Exchange Rate Mechanism, Godber said sterling could tumble to a multi-year low against the dollar very rapidly. "Sterling has already been very weak in the run-up to the Scotland vote - we've seen it fall from $1.72 to $1.62," he told BBC Radio 4. "I...
To continue reading this article...
Join Professional Adviser for free
- Unlimited access to real-time news, industry insights and market intelligence
- Stay ahead of the curve with spotlights on emerging trends and technologies
- Receive breaking news stories straight to your inbox in the daily newsletters
- Make smart business decisions with the latest developments in regulation, investing retirement and protection
- Members-only access to the editor’s weekly Friday commentary
- Be the first to hear about our events and awards programmes