Pound likely to trade in narrow range

dubai — The British pound remains stable on Wednesday despite the British parliament rejecting UK Prime Minister Theresa May’s Brexit proposal for a second time late on Tuesday. It is expected that the sterling will trade in the narrow of four per cent in the coming two weeks.

Devesh Mamtani, head of investments and advisory services at Century Financial, said the market expects a third vote on May’s deal in the final week of March or the EU will grant a technical

The probability of a no-deal Brexit is seen only at 10 percentage while a revised deal and securing an extension have probabilities of 35% and 20%, respectively Devesh Mamtani, Head of investments and advisory services at Century Financial

extension after March 29 so that the UK can sort out the issues itself. “As of now, the probability of a no-deal Brexit is seen only at 10 percentage while a revised deal and securing an extension have probabilities of 35 per cent and 20 per cent, respectively,” he said.

The British parliament on Tuesday rejected May’s deal to quit the European Union for a second time, deepening the country’s political crisis days before the planned departure date of March 29 from the EU.

Mamtani expects the sterling to trade in the range of 1.2650 to 1.3760 against the US dollar in the next two weeks. The pound was trading 1.316 against the greenback on Wednesday evening. — waheedabbas@khaleejtimes.com