Black Wednesday

暗黒の水曜日　—　Phenomena

September 16, 1992. The day the pound was forced to withdraw from the ERM, as even a two-step interest rate hike could not stop speculative selling.

September 16, 1992, the day the pound was hit by speculative selling and forced to withdraw from the ERM (European Exchange Rate Mechanism). The selling did not stop even with a two-step interest rate hike.

⚠ Remembered as the day the market won in a head-on collision with the central bank. There are limits to defending a fixed exchange rate.