After Brexit Emotion Currency Dislocations Present Opportunity

A significant volatility shake-out in currency markets occurred as a result of the Brexit emotion following Friday’s vote. The resulting shock has created investing opportunity. A Barclays report notes certain currency pairs that may be undervalued while others could be overvalued as a result of the Brexit scare. Brexit emotion: Some currency markets look overbought while others were oversold The surprise Brexit referendum result “weighed” on the British pound and risk sentiment more broadly last week, a June 27 report by Barclays currency strategist Nikolaos Sgouropoulos noted. The Japanese Yen was “the unquestionable out performer,” while the US dollar also benefited….