GBP: ‘Bumping Along The Bottom’; What’s The Trade? – SocGen

Societe Generale Cross Asset Strategy Research argues that GBP direction and target into 2018 can summed up as ‘bumping along the bottom’ .

"We see little chance of positive economic surprises but struggle to see how sterling can get even cheaper than it is. GBP/USD will probably stay in a range, while EUR/GBP rises as a function of euro strength," SocGeb argues.

Hence, we favour selling the pound against the euro, or better still, the SEK and NOK," SocGen advises.

Source: Societe Generale Cross Asset ResearchOriginal Article