Trading so far this morning:
Although the pound has risen today, we should note that trading is pretty thin.
And traders will be trading blind until after 10pm tonight, when the polls close and we get an on-the-day poll from YouGov. (Note this is NOT an exit poll but a poll done late yesterday but due to be published at 10pm)
Yujiro Goto, currency strategist at Nomura, explains:
“If polls after the vote closes suggests that “Leave” is in front, then we could see sterling drop. These are very challenging conditions.”
Hussein Sayed, chief market strategist at FXTM, says traders seem to be influenced by the odds on offer at the bookmakers:
“Although most recent polls swayed toward the remain camp in the last couple of days, the lead is still very narrow, which doesn’t explain the surge in pound.
However, the markets are being completely reliant on the predictions from the bookies, which strongly expect “remain” to win the referendum.”
As discussed before, if that voice in the back of the bookies head's is right....
Still all sounding very high risk tbh.