Sterling’s Surge, Euro’s Insights, and USD’s Week Ahead

GBP Pound Sterling capitalised on the optimistic statements from Bank of England policy makers during their parliamentary hearings on the November Monetary Policy Report this Tuesday. Bolstered by positive November PMI readings, indicating a return to economic growth after months of stagnation, Sterling made significant gains against most G10 peers. The fiscal landscape also played…

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Sterling Weakens on Soft Wage Data, Eurozone Concerns Loom & Dollar Holds Steady

GBP Sterling retreated against both the Euro and Dollar this week after the release of soft wage data, which further reinforced BoE’s decision to hold interest rates for the time being. The three-month-to-August Average Earnings, excluding bonuses, softened to 7.8%, as expected, compared to the previous release of 7.9%. Alongside this, Average Earnings data, including…

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Sterling Struggles Amidst Geopolitical Uncertainty, Euro Faces Headwinds and USD Regains Momentum

GBP Sterling faced additional downward pressure against the Dollar, extending its correction below the critical support level at 1.2200. This decline in GBP|USD coincides with a shift in market sentiment towards increased risk aversion. The primary reason for this shift is the ongoing Israel-Hamas conflict, which has raised concerns about potential global repercussions. The conflict…

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Challenges and Uncertainties Await Sterling

GBP Sterling has been under relentless pressure against the Dollar for the past 11 weeks, due to investors and speculators worrying about the UK’ weak economic outlook. Analysts predict that the selloff is likely to continue, with a target of GBP|USD 1.20 in the coming weeks (currently 1.2187 at the time of writing). GBP|EUR also…

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Heads Turn to BoE and Fed Rate Hike Decisions

GBP Pound Sterling had a turbulent end to the previous week, witnessing a notable decline against the Euro and Dollar. GBP|EUR saw lows of 1.1580 and GBP|USD to 1.2370 marking it lowest in a 3-month period. This was driven by the ECB hiking interest rates, strong data out of the US and a weak overall…

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Pound Under Pressure

GBP Bank of England (BoE) Governor Andrew Bailey contributed to the market’s uncertainty by offering insights into the UK’s interest rate trajectory. His remarks led investors to reevaluate expectations, not only for a potential November rate hike but also for the possibility of rates remaining unchanged in the upcoming September meeting. GBP/USD has encountered a…

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