Brexit topples the once-mighty British pound to a new low against the Singapore dollar in never-before seen levels today.
Bloomberg data showed the British currency reaching as low as £1 to S$1.6093 in early Asian trading, while it went £1 to US$1.138 on some trading platforms in Asia.
The plunge arrived against further worries about a “hard” exit by Britain from the European Union. UK Prime Minister Theresa May had also recently made thinly veiled attacks on the Bank of England with her comments on the impact of loose monetary policy. Not to mention a Financial Times article that cited French President Francois Hollande as saying that the UK must suffer the consequences for leaving the EU.
The drop however was temporary — the pound climbed back up to £1 to S$1.7087 as of 8.35am.
The Sterling’s tumble has been ongoing since May’s speech on Sunday, where she seemed to assure that financial services will get no special favors in EU exit talks.
