As the referendum date closes in, Pound’s volatility over poll rises. Over the past month or two, Pound’s reaction to several polls have been mute. It has faced volatility in the initial days after Prime Minister David Cameron announced the referendum date to be on June 23rd. But afterward, it was pretty much counter trend, Dollar weakness, risk-trends, options that has been moving Pound.
Now, as we are just less than a month away from the referendum date, Pound has started reacting to the polls and possibilities with greater volatilities.
It reacted sharply last week over Ipsos Mori poll, which showed in camp is leading with 13% over the out. Since then all the polls have shown “Stay” camp is ahead.
Today, Telegraph published a poll conducted by ORB, which showed “Stay” camp is leading with 13% over the “Out” camp. 55% of the people are backing a “Stay”, while 42% in favor of going out.
Pound has reacted sharply over the release and it is the best performing major today. Pound is currently trading at 1.46 against Dollar, up 0.85% so far today.