Goldman maintains recommendation to stay long GBPCHF

August 27, 2024 at 05:57AM

GBP has testified of its high beta properties after its rapid recovery in August alongside other risky assets

Expected downside in EURGBP below 0.85 and upside in GBPUSD above 1.30 to extend

Maintains long recommendation in GBPCHF

Main drivers of the bullish view is positive global risk sentiment, lower yields, and improving UK domestic data (demonstrated by recent flash PMI data)

Sterling to be supported as solid activity data should help the BoE stay in line with their peers

Incoming fiscal policy with the budget statement is a potential risk

This article was written by Arno V Venter at www.forexlive.com.