GBP shorts vs SEK a better trade into UK political risk – SG

FXStreet (Barcelona) - Kit Juckes of Societe Generale gives the outlook for GBP and better trades for the soft USD.

Key Quotes

“We still like GBP shorts vs. SEK as a way to trade both political risk and because we think GBP is particularly vulnerable to a global economic downturn.”

“Other currencies which may struggle to really capitalise on dollar softness include CAD (too close to the US and too likely to import the same weakness when their job data are released) and AUD (chances of a rate cut this week haven’t decreased, and US slowdown won’t do anything for commodity prices).”