Nomura International FX strategist Jordan Rochester spoke to Bloomberg TV earlier
Rochester says that they view cable heading towards 1.48 by the end of the year, and moving to 1.56 in 2019, noting that the view held here is "a big dollar weakness story".
He argues that the call on cable here is mostly a dollar call. However, he says that sterling should gain further traction along the way as the market prices in more hikes by the BOE as well as if the UK signs a transitional deal with the EU that involves being in the customs union.
The latter he says will see a pick up in investments - especially in a case which involves the customs union.
