Following last Friday’s heightened volatility in currency markets after the UK’s Brexit vote, the Foreign Exchange Professionals Association (FXPA) today commended the industry for how it prepared ahead of Britain’s referendum, according to an update on the FXPA website.

The FXPA said that currency markets functioned relatively smoothly in the initial hours and days after the polls closed, a perspective that others have shared including in coverage by Finance Magnates since last week.

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The FX industry prepared for this unprecedented event with enhanced staffing in all areas throughout the night, with technical and capacity planning.

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FX Markets functioned smoothly

A large number of online retail FX brokers and some institutional venues had cut leverage going into the Brexit vote, in addition to taking other related preparations.

A spokesperson provided a statement on behalf of the FXPA: “The FX industry prepared for this unprecedented event with enhanced staffing in all areas throughout the night, with technical and capacity planning.”

Will Brief US Regulators

“The British pound dropped precipitously as the Brexit vote became known, yet the FX industry’s infrastructure and resiliency ensured the smooth operation of the market during bouts of extreme volatility, which is a necessity in allowing the market to express its views,” the FXPA added in the statement.

The FXPA also noted that it will brief US government regulators, and further noted: “In the coming weeks and months, the FXPA will provide a forum for market participants to ensure such operational consistency continues as the implementation of the Brexit plays out. The FXPA will also, in the course of its normal activity, be briefing US government regulators on how the market functioned during this historic night.”