GBP/USD nose-diving below 1.22

GBP/USD nose-diving below 1.22

GBPUSD has just posted new session lows below 1.219. Politics is the king in case of GBP as any economic data causes just short-term spikes on GBP (which is currently depreciating -0.84% against the USD). The drop has been caused by PM May comments. She said that UK negotiations with the EU will be about ’getting the right relationship, not about keeping bits of membership.  

According to BBC, Mrs May said the UK would have control of its borders and the best possible trade deal with the EU. She didn’t commit to maintaining "single market access", and she suggested that people who thought the country could keep "bits of EU membership" were missing the point that it "would be leaving".

What is more we got some interesting comments from Scotland’s Sturgeon who said that she wasn’t bluffing on the promise of a second independence referendum. She said she was prepared to compromise and wants Mrs May to do the same but the UK government has said a special deal for Scotland is unrealistic.

GBP/USD - 1HR Chart

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