Bearish GBP/USD bets look attractive at levels above 1.25 – ING

Research Team at ING notes that as expected, the Supreme Court judged that Parliament will have to vote on the triggering of Article 50 – but the ruling was not extended to devolved assemblies.

Key Quotes

“All eyes will now be on the wording of the government’s Brexit bill (due later this week). Ultimately, near-term political uncertainty is likely to pick up: amendments and blockages by opposition parties to what is likely to be a simple Brexit bill will only slow the inevitable process of the UK leaving the EU. Strategically, we are bearish GBP/$ and see risks of a move down towards 1.21 over the coming weeks – especially once markets reconnect with the idea of Trumpflation.”