Credit Agricole CIB Research discusses GBP outlook and maintains a bullish bias, expressing that via holding a long GBP/CHF exposure in spot targeting a move towards 1.22.
"GBP ontinued to benefit from the improving risk sentiment in the wake of the US election and the USD selloff that came with it. Looking ahead, focus will turn to the UK GDP, industrial and manufacturing production data as well as labour market data for September," CACIB notes.
"In addition, the outcome of the next round of Brexit trade talks could attract greater market attention in view of the approaching ‘hard deadline’. We remain constructive on the GBP as we continue to expect a Brexit trade deal by the end of November and remain long GBP/CHF," CACIB adds.