The market responded negatively after British Prime Minister, Boris Johnson was admitted into the Intensive Care Unit yesterday due to complications from Coronavirus.
According to reports from Downing Street, Boris Johnson’s intensive care admission was a precautionary measure. However, the country’s currency markets were not quite as hopeful. This is because just ten minutes after the report, the British Pounds had dropped by about 0.4%. But by Tuesday morning (7.30 am Nigerian time), the Pound regained some of its losses.
The British Prime Minister was diagnosed with COVID-19 about 10 days ago. But until yesterday, he had been performing his duties from isolation without difficulties. Over the weekend, it was reported that he had been taken to the hospital due to persistent symptoms of COVID-19.
Despite this, the currency market was not so unsettled by the turn of these events. The British pound sterling started with its biggest daily gap drop since November 2018, but the move hardly had high price swings relative to the surrounding volatility of the past two months.