Pound Sterling Exchange Rate Fluctuates as BoE Faces Treasury Committee
The Pound (GBP) initially rallied at the start of Tuesday’s session as markets jumped on comments from Bank of England (BoE) policymaker Gertjan Vlieghe as he suggested there could be as many as six rate hikes over the next three years.
However despite the UK also publishing some positive borrowing figures, Sterling fell back again against many of its peers by the end of the session following a fall in factory orders and warnings from the BoE’s Mark Carney over the impact on Brexit on UK households.
Looking forward, the release of the UK’s latest inflation figures could lend some support to the GBP exchange rate this morning should they print higher than forecast.
GBP/EUR Exchange Rate Volatile as Questions Raised over Proposals for New Italian PM
The Pound Euro (GBP/EUR) exchange rate traded in a wide range on Tuesday as doubts were raised over the nomination of Giuseppe Conte as the Prime Minister of the incoming coalition government in Italy.
These doubts were mostly focused on Conte’s academic credentials as it immerged that they may not all hold water, while further concerns were raised about his lack of political experience.
GBP/USD Exchange Rate Stabilises as Profit Taking Hits the US Dollar
The Pound US Dollar (GBP/USD) exchange rate was able to stave off further losses yesterday as the US Dollar’s (USD) recent rally lost steam.
Economists suggest this loss of momentum is partially down to a bout of profit taking from investors, but is also likely due to a pause ahead of today’s Federal Reserve minutes which may provide some clues as to whether more than two more rate hikes can be expected from the bank this year.
GBP/CAD Exchange Rate Flat as Canadian Wholesale Trade Jumps
The Pound Canadian Dollar (GBP/CAD) exchange rate remained virtually unchanged during yesterday’s session, with a larger-than-expected rebound in Canada’s Wholesale Sales from -0.4% to 1.1% in March helping the ‘Loonie’ (CAD) to firm.
GBP/AUD Exchange Rate Subdued as Risk Appetite Jumps
The Pound Australian Dollar (GBP/AUD) exchange rate held close to a two-month low on Tuesday as the momentary pause in the US Dollar (USD), and an uptick in most commodity markets helped to buoy market risk appetite and consequently the ‘Aussie’ (AUD).
GBP/NZD Exchange Rate Strengthens, Kiwi Loses out in Risk Rally
The Pound New Zealand Dollar (GBP/NZD) exchange rate was the only major Sterling pairing to make any headway yesterday, as markets appeared to shun the ‘Kiwi’ for its antipodean cousin.