Pound Sterling's Rollercoaster: Dollar Weakness or British Grit? Axe's Take

Sterling's Swagger: Real Deal or Fool's Gold?

Alright let's cut the crap. The pound's flexing hitting levels we haven't seen since before half the clowns on Wall Street got their bonuses. They are saying it's trading around $1.36 this morning. Up nearly 9% against the greenback this year? Sounds like someone's been juicing the numbers. But against the Euro it's singing the blues. So what's the real story? Is this thing ready to run or are we just watching a dead cat bounce? Because I don't bet on sympathy cases.

Dollar Downer: Is Trump Still to Blame?

Janet Mui from RBC Brewin Dolphin is saying it's all about the dollar crapping out. Blaming Trump's 'unpredictable trade policies'. Classic. Everything's someone else's fault. But she might have a point and she makes it to CNBC a good outlet for Axe Capital but I digress.. Dollar weakness has always been a buying opportunity. It's like finding a hundred dollar bill on the sidewalk. You pick it up and you f***ing use it. The problem with these analysts they never take the hundred they always want to look for a thousand.

Liz Truss's Legacy: The Gift That Keeps on Giving?

Ah Liz Truss. Remember that mini budget fiasco? The one that made the pound look like it was auditioning for a role in a toilet paper commercial? Paul Jackson from Invesco thinks we're still climbing out of that hole. He's probably right. Politicians man. They're like toddlers with nuclear codes. But he does agree it's a weak dollar story. So are we betting on Britain's brilliance or America's blunders? That's the million dollar question.

Crystal Ball Gazing: $1.40 or Bust?

Jackson's throwing out predictions like he's got a direct line to God. Says GBPUSD will hit $1.40 in a year GBPEUR at 1.15. That's a nice little premium. But predictions are like assholes everyone's got one and they all stink. Mui's not so optimistic. She's seeing limited upside softer UK economy blah blah blah. She's hedging her bets like she's playing poker with my grandmother. Geopolitical developments could be a game changer she says. The EU? They are more useless than the appendix.

The Bear Case: Time to Short the Pound?

Brian Mangwiro from Barings is a straight shooter. Bearish on the pound. Sees it dropping. Thinks the market overreacted to Reeves's Budget. Okay now we are talking. "Markets had been overly bearish on the UK," he says. He's betting on UK growth and inflation slowing. Which means more rate cuts from the Bank of England. I like this guy's style. Shorting something based on fundamentals? That's how you make real money not riding some wave of hope and delusion. That's how you become a f***ing billionaire. One good short at a time.

De Dollarization: Hype or Reality?

Mangwiro thinks the whole de dollarization thing is overblown. The US economy will rebound corporate earnings will stay strong. And those clowns who are shorting the dollar? They'll get squeezed. "Sentiment will likely reverse as US growth outlook rebounds and corporate earnings remain resilient," he says. This is a chess game people. Not checkers. You gotta see three four moves ahead. And right now I'm seeing opportunity...to figure out who's right and profit. Now let's get this money.