It's back to the future as Congress tussles over a continuing budget resolution. Here's how to trade on the brinkmanship.
Congress has to vote today to end debate on a continuing resolution to keep the government running. If it doesn't pass, then it's time to...sell the British pound against the Canadian dollar, says Andrew Busch, global currency and public policy strategist for BMO Capital.
Why that pair? Busch went back and looked at the last time the government shut down over budget issues, in 1994 and 1995. Both times, he says, the pound fell against the loonie. "The trade is back to the future," he says.