GBP/USD has broken below the 1.1406 low. Therefore, economists at MUFG Bank believe that the pair could nosedive towards the all-time low of 1.0520.

Bleak UK economic outlook

“GBP/USD has further to fall in circumstances of increased financial market volatility given the UK’s budget + current account deficit combined is set to head toward an eye-watering 15% of GDP downside GBP pressure will persist.”

“A break below the low of 1.1406 will take us to levels not seen since 1985 when GBP/USD hit an all-time low of 1.0520.”