Shed Excess British Pound Now, Strategist Bloom Says

The transcript discusses Brexit fatigue and its impact on FX trading, particularly on sterling. It explores market sentiments regarding potential extensions and the implications of a hard Brexit. The conversation shifts to the effects on the euro and dollar, suggesting that Brexit is more detrimental to the UK than Europe. The discussion extends to Asian currencies, highlighting the potential appreciation of the Korean won and the Chinese yuan. The role of US-China relations in currency control is examined, noting the closed capital account of China. Finally, the transcript addresses the role of central banks in managing liquidity and funding squeezes, emphasizing their active role in injecting liquidity into the system.

What is the current sentiment in the market regarding Brexit extensions?

How has sterling reacted to the news surrounding Brexit according to the text?

What does the speaker imply about the pricing of a potential deal in the market?

What is the significance of the Australian deal mentioned in the context of Brexit?

How do the speaker's views on the Chinese currency and its control differ from those of the US?

What are the implications of the new US administration on the currency markets according to the discussion?

What changes in central bank behavior are noted in relation to liquidity and funding squeezes?