The British pound is getting crushed this morning as a result of increasing uncertainty over the result of the UK election, which must occur by the end of May.
This weekend saw Conservative leader David Cameron’s lead in the polls further erode down to a tiny 2%. This leaves the Labour Party, under much maligned Prime Minister Gordon Brown, within striking distance of a shock victory and a minority government in the UK.
This morning’s speculative attack has one of two purposes. It either intends to push the British voter back towards the Conservative Party after Cameron’s hard hitting speech over the weekend on attacking deficits and re-building British business. Or it is prediction that the election will result in a hung parliament or a return to power for a Labour Party some consider big spending and weak on the deficit.