Sterling to drop again, Validus Risk Management forecasts

Sterling is likely to fall to about $1.35 in the run-up to Britain’s referendum on European Union membership, according to the currency’s top forecaster.

Validus Risk Management, which led Bloomberg’s first-quarter rankings for predicting the sterling-dollar rate, foresees a slide to as low as $1.20 if the UK votes to leave the world’s largest single market on June 23.

Sterling touched $1.3503 in 2009 but hasn’t been as low as $1.35 since the days of Margaret Thatcher in the 1980s.