The Pound remains neutral. Overview for 22.10.2018

On Monday morning, GBPUSD is trading quietly despite rumors that there might be the second Brexit referendum.

The British Pound remains stable against the USD so far. However, the rumor has it that there might be another referendum on the country’s exiting the European Union, that’s why the British currency may yet plunge. The current quote for the instrument is 1.3067.

Last weekend, there was People's Vote march in London, which, according to the BBC, attracted approximately 700,000 people, featuring a lot of youngsters and families with children. All these people want the same: another Brexit referendum. They believe that there must be the second voting on the Brexit before the parties sign the final agreement, because it may really clear things out.

The country’s authorities have already spoken that the second referendum is necessary indeed. Now there is information on the voting scenario that is being prepared, some kind of “Plan B”, but considering the number of people who took part in the march, it might turn out to be very useful.

In the meantime, the rating of the country’s Prime Minister Theresa May is plummeting due to the Brexit complications between the UK and the EU that happen all the time. Apart from this, May’s party, the Conservative Party, doesn’t support her. The Opposition thinks that May should really consider recommendations on creating the third possible Brexit scenario. So far, there are two: the first one implies “soft” exiting, and the second scenario won’t have any trade agreements between the parties.

This political escalation in the United Kingdom is very negative for the national currency.