CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Open account
☰
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Open account
✖

Pound hits 2 year high after Scotland votes 8216 No 8217 on independence

Article By: ,  Financial Analyst
September 19, 2014 10:15 AM

The pound has enjoyed a surge against the euro as Scotland voted 'No' in the independence referendum.

The British currency hit a two-year high against the European currency while it also rose to a two-week high against the US dollar. In Asian trade, sterling increased 0.43 per cent to 1.2743 euros (£0.9985) while it grew 0.8 per cent to $1.6525 (£1.0038) before dropping back slightly. The FTSE 100 share index also rose by 0.7 per cent to 6,860 in early morning trading.

Scotland confirmed a 'No' vote in the early hours of Friday (September 19th) with over two million votes cast against becoming an independent nation. Only four councils voted in favour of independence giving the Better Together campaign an overall majority of 55 per cent, against the 45 per cent gained by the 'Yes' party.

While Scotland will not be breaking away from the UK there are set to be a number of changes implemented in the future. In the build-up to Thursday's (September 18th) referendum, prime minister David Cameron pledged for more devolved powers to be given to Scotland should voters choose 'No'.

The decision has had a positive effect on the banking sector with the Royal Bank of Scotland confirming that it would not be relocating to London after independence was rejected. The bank had warned that it would move south should the country vote 'Yes'. Lloyds Banking Group will also be staying in Scotland and maintained that it is committed to the country.

Brenda Kelly from IG Index said: "Investors in these firms will be relieved that management will be able to devote their time to business performance, rather than fretting about contract changes or headquarter moves.

"There is still uncertainty, primarily over the new changes to voting on English issues, but these are of importance primarily to politicians and less so to markets."

Find up to date information on currencies and spread betting strategies at City Index.

StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. CFD and Forex Trading are leveraged products and your capital is at risk. They may not be suitable for everyone. Please ensure you fully understand the risks involved by reading our full risk warning.

City Index is a trading name of StoneX Financial Ltd. Head and Registered Office: 1st Floor, Moor House, 120 London Wall, London, EC2Y 5ET. StoneX Financial Ltd is a company registered in England and Wales, number: 05616586. Authorised and regulated by the Financial Conduct Authority. FCA Register Number: 446717.

City Index is a trademark of StoneX Financial Ltd.

The information on this website is not targeted at the general public of any particular country. It is not intended for distribution to residents in any country where such distribution or use would contravene any local law or regulatory requirement.

© City Index 2024