Sterling slightly higher after inflation data

GBP Sterling was trading a touch higher this morning as UK inflation showed an unexpected rise for the month of June. Data from the Office for National Statistics (ONS) showed consumer price inflation rising from four year lows at 0.5% last month, to 0.6% for the month of June, beating forecasts of another dip lower … Read more


Global risk appetite improves

GBP Sterling ended the week on a positive as it held firm against the dollar for the first time in four weeks. The pound’s movement in the coming weeks will depend on how talks progress between the UK and the EU in regards to a post-Brexit trade deal, sterling will also be impacted by investor … Read more


Dollar lower as risk sentiment improves

GBP The pound posted an impressive recovery against the dollar yesterday despite there being no fundamental changes in the currency market. Sterling’s appreciation appears to be a technical move resulting from quarter end re-balancing. Yesterday, EU chief negotiator Barnier rejected the UK’s plan for the City of London’s access into the EU. Barnier said the … Read more


Brexit risk weighs on sterling

GBP Sterling continued to trade at recent lows as Brexit worry continues to force pressure on the currency. The pound dropped to three month lows against the Euro and a one month low against the US Dollar, as a worse than anticipated Brexit deal became more likely over the weekend along with further worry that … Read more


Sterling remains steady

GBP Sterling was pretty flat against both the Euro and the US Dollar despite mixed news from both currencies. GBP largely held its position against the Euro despite data showing a better than expected rise in German business morale. This news did however add to a weaker dollar as investors took some risk off currency … Read more


Sterling drops to lowest levels since mid March

GBP Sterling fell to its lowest levels since mid-March against a strong Euro yesterday, but rallied close to 0.4% against a weaker USD as global risk appetite improved. Despite posting a record rise, sterling was unmoved as UK PMI survey’s showed activity in the services and manufacturing sector rose to 47.6 in June, from 30 … Read more


UK factories suffer worst quarter on record

GBP Sterling had a mixed day yesterday as it was aided by hopes of a Brexit trade deal and expectations of better economic data due to a relaxation in lockdown measures. However, British industrial output recorded its biggest quarterly fall on record during the three months to June and this stopped the pound from having … Read more


Bank Of England provide further stimulus

GBP The Bank of England ramped up its quantitative easing programme by £100bn it announced yesterday, taking the programme’s total to £745bn. The increase was in line with what the market expected and therefore did not provide any shocks to the Sterling exchange rate. Expectations were however heightened as further action will be announced by … Read more


Dollar demand higher as Fed signal dovish outlook

USD Wednesday evening saw the eagerly anticipated Federal Reserve press conference take place, and their economic outlook has seen investor concerns rise as the dollar strengthened against riskier currencies. It was also projected that US interest rates would likely stay near zero for the foreseeable future. Federal Reserve policymakers predict that the US economy will … Read more


Sterling rises against safe havens

GBP Sterling rallied against the US Dollar on Tuesday as dollar weakness continues to drive cable higher. Sterling’s gains were capped against the Euro as Brexit uncertainty is still effecting the currency pair. Due to global risk appetite improving, this has led to sterling rising against most major currencies. The pound has risen by more … Read more


Sterling remains steady

GBP The pound continued to remain steady against most G10 currencies at the beginning of this week with increasing hopes that the UK government will announce further easing of lockdown measures. Prime Minister Boris Johnson is expected to ease restrictions on pubs, restaurants and other businesses with access to outdoor areas. GBP investors are now … Read more


Sterling’s best week against the US Dollar since March

GBP The pound had a strong close to the week having experienced its biggest weekly gain against the dollar since the end of March, despite the fact that there has been little to no progress in Brexit trade talks. Negotiators have until the end of this month to agree on extending the December deadline, otherwise … Read more


Safe haven weakness continues

GBP Sterling rose to ten week highs against the USD on Thursday benefitting from a weaker USD, but lost ground on the EUR. With further economic stimulus expected to be implemented globally, hopes of a global economic recovery have encouraged investors to diversify their portfolios by selling some of their “safe” USD positions in favour … Read more


Sterling reaches four week high against the Dollar

GBP Sterling rose to a one month high against a broadly weaker Dollar, but failed to gain against the Euro as Brexit risks continue to weigh on the pound. Britain and the European Union launched their fourth round of virtual post-Brexit trade talks in an attempt to make some progress towards securing a trade deal. … Read more


Sterling benefits from signs of a global economic recovery

GBP Sterling held steady against the Euro but rallied against the USD yesterday benefitting from an improvement in risk appetite, as optimism grows that the worst of the economic fallout caused by the coronavirus has passed. Sterling has had a positive week gaining from the UK’s decision to further ease lockdown measures, with investors showing … Read more


The pound hits a four week high against USD

GBP The pound soared to a four week high against the dollar at the start of June as the global risk-on mood triggered weakness in safe haven currencies. Despite this, the pound still has many factors weighing it down, especially Brexit-related risks and speculation around negative interest rates. The fourth round of talks with the … Read more


Brexit fears weigh on the pound

GBP The pound finished last week subdued as Brexit trade talks continued to weigh on the currency. As we enter June, the clock continues to tick on a transition period and no signs of progress have yet been made, and it is increasingly unlikely that we will see an extension agreed before the month end. … Read more


Euro higher on Covid-19 recovery fund proposal

EUR The euro edged higher yesterday following a report in Germany that the European Union plan to offer member states a €750bn coronavirus recovery fund. The recovery fund is reported to include €500bn worth of grants with an additional €250bn to be offered as loans. Despite taking a huge step forward with this proposal, the … Read more


Two week Sterling high against the Euro and US Dollar

GBP Sterling rose to two week highs against both the Dollar and Euro on Tuesday, boosted mainly by improving global risk appetite which saw the greenback fall. The prospect of economies reopening around the world caused investors to become more optimistic which caused sterling to strengthen. Boris Johnson announced the next steps on how restrictions … Read more


Euro remains stable ahead of EU proposal

EUR The Euro remained steady on Monday as a big week awaits ahead for the single currency. European policy makers are set to announce the recovery fund this week which is aimed to help member nations which have suffered from the coronavirus pandemic. Countries such as Austria, Netherlands, Denmark and Sweden want loans from a … Read more