Brexit: Polls Say Yes, Markets Say No

The video discusses the uncertainty surrounding the Brexit vote and how markets and polls provide different indicators. It highlights the volatility of the British pound compared to other currencies and examines the implications of implied volatility on market predictions. The discussion includes a comparison with Fed funds futures rates and historical examples, emphasizing the reliability of financial markets as indicators. The video concludes by explaining how hedging is used to manage near-term uncertainty.

In what way does the text differentiate between the reliability of polls and financial markets?

What role does hedging play in the context of market volatility as discussed in the text?

What conclusion can be drawn about the market's expectation of the Brexit vote outcome based on the text?