Danke Research discusses EUR/GBP outlook, and expects more uncertainty ahead of the Brexit deadline on Oct-31.
" In the run-up to the end-October Brexit deadline, we expect EUR/GBP to remain volatile and maybe more so than we previously thought likely. Ultimately, EUR/GBP can go as high as 0.97 (previously, we thought 0.91).
Our base case continues to be a much, much less dramatic outcome at end-October. We expect EUR/GBP to settle at 0.89-0.91 on the back of an extension and/or snap election.
In the case of a decent deal or cancelation of Brexit, we believe EUR/GBP will turn towards 0-83-0.86," Danske argues.