Pound Sterling Exchange Rate Appreciates as BoE Rate Expectations Not Entirely Dead
The Pound (GBP) exchange rate strengthened on Monday, with Sterling advancing against the majority of its peers as many analysts still appeared optimistic regarding the possibility of a rate hike from the Bank of England (BoE) next month.
Despite the recent lacklustre inflation figures and dovish remarks from BoE Governor Mark Carney it’s appears that a number of economists are still suggesting that a May rate hike may be on the cards, prompting GBP to rise as investors come crawling back.
GBP/EUR Exchange Rate Advances as Eurozone Economy Holds Steady
The Pound Euro (GBP/EUR) exchange rate made some decent headway towards recovery on Monday as the pairing failed to be lifted by the Eurozone’s latest PMI reading.
Despite the PMI reading beating expectations to remain steady at 55.2 the Euro (EUR) was still forced to retreat as IHS Markit, who compiled the report, suggested this amounted to the Eurozone remaining stuck in ‘lower gear’ in comparison to last year’s rapid growth.
GBP/USD Exchange Rate Slides as US Bond Yields Continue to Tick Higher
The Pound US Dollar (GBP/USD) exchange rate struggled at the start of this week’s session, with the pairing falling to a new one-month low as investors remained bullish towards the US Dollar (USD).
This was mostly attributed to the continued rise in US treasury yields, but USD was also buoyed by a sharper than expected rise in US existing home sales
GBP/CAD Exchange Rate Edges Higher as Oil Prices Retreat
The Pound Canadian Dollar (GBP/CAD) exchange rate pushed slightly higher yesterday as oil prices continued to fall back from the three-year high struck last week.
This downturn in crude prices was largely driven by the rising strength of the US Dollar and well as recent tweets by US President Donald Trump’s criticising OPEC for ‘artificially high’ oil prices.
GBP/AUD Exchange Rate Strengthens as Australian Inflation Fails to Rise
After ticking higher during the European session on Monday the Pound Australian Dollar (GBP/AUD) exchange rate was able to extend its gains overnight following the release of Australia’s latest CPI report as inflation remained at 1.9% in the first quarter.
GBP/NZD Exchange Rate Lifted as Risk Appetite Tumbles
The Pound Sterling to New Zealand Dollar (GBP/NZD) exchange rate also advanced at the start of this week’s session as the uptick in the US Dollar weighed heavily on market risk appetite.