If Deal Is Passed This Week, Pound’s Rally Will Continue, Says UBP’s Kinsella

The video discusses the potential for Sterling to rally if a deal passes in Parliament, with predictions of reaching 1.32 to 1.35. It examines the UK volatility curve, suggesting a collapse in front-end volatility once Sterling hits certain levels. The possibility of an election is considered inevitable, with Boris Johnson likely to succeed if he campaigns with a deal. Long-term Sterling gains are seen as limited post-Brexit, but undervaluation suggests potential growth. Euro and dollar trends are analyzed, with expectations of Euro strengthening against the dollar.

What is the expected range for Sterling if the deal passes in Parliament?

• 1.50 to 1.55

• 1.30 to 1.35

• 1.20 to 1.25

• 1.40 to 1.45

What is the current state of the UK Vol curve?

• Neutral

• Flat

• Steep

• Inverted

What is the expected outcome if Boris Johnson goes to the people with his deal?

• He will change his stance

• He will lose support

• He will walk back in

• He will face a no-confidence vote

What is the potential future level for Sterling according to the discussion?

• 1.35

• 1.20

• 1.60

• 1.50

What is the expected movement for the Euro-Dollar exchange rate by the end of 2020?

• 1.20

• 1.05

• 1.11

• 1.16