Pound Sterling (GBP) Exchange Rate Lifted Despite Lull in Domestic Data
The Pound Sterling (GBP) exchange rate accelerated against the majority of its peers on Friday in spite of a lull in any notable UK data releases.
Instead the Pound appeared to benefit from a bout of profit taking in some of the other majors following some major shifts in the currency market earlier in the week.
Looking forward this week will see the Bank of England (BoE) hold its latest rate decision meeting, with movement in Sterling likely to be dictated by the tone of the bank’s forward guidance and the possibility of a rate hike in August.
GBP/EUR Exchange Rate Trims ECB Driven Gains
The Pound Euro (GBP/EUR) exchange rate slipped back on Friday as the single currency began to recover from a sharp sell-off on Thursday.
Thursday’s losses in the Euro came in the wake of the European Central Bank’s pledge to keep interest rates at record lows well into 2019.
However analysts suggest that investors may have been a little over zealous in selling the Euro, leading to some re-positioning before markets closed on Friday.
GBP/USD Exchange Rate Fluctuates as Geopolitical Concerns Grow
After briefly touching a new eight-month low at the start of the session, the Pound US Dollar (GBP/USD) exchange rate began to show signs of recovery throughout the European session.
This was driven by an upswing in political and trade tensions as Donald Trump moved forward with his plans to slap tariffs on $50bn of Chinese goods, stoking fears of an escalating trade spat between the world’s two largest economies.
However the GBP/USD exchange rate began to trim its gains again by the start of the American session as the US Dollar was bolstered by an uptick in consumer confidence.
GBP/CAD Exchange Rate Spikes as Oil Prices Plummet
The Pound Canadian Dollar (GBP/CAD) exchange rate shot higher on Friday, striking a new one-week high as a sharp downturn in Brent crude prices dragged on the ‘Loonie’, extending the losses in CAD driven by elevated trade tensions throughout the week.
GBP/AUD Exchange Rate Accelerates as Trade Concerns Weigh on the ‘Aussie’
The Pound Australian Dollar (GBP/AUD) exchange rate closed last week’s session at a three-week high as renewed trade tensions between the US and China, prompted investors to shy away from the high-yield ‘Aussie’.
GBP/NZD Exchange Rate Ticks Higher as Trade War Fears Build
The Pound New Zealand Dollar (GBP/NZD) exchange rate told a similar story to its antipodean cousin on Friday, with the ‘Kiwi’ being driven lower as markets expressed their concerns about how a US-China trade war could impact the region.