Pound Sterling (GBP) Exchange Rate Recoups Losses as Political Uncertainty Eases
The Pound (GBP) rallied against the majority of its peers on Tuesday, picking itself up from the heavy losses inflicted on Monday following the resignation of Boris Johnson and David Davies.
This was largely thanks to Theresa May managing to stave off calls for a leadership challenge, with rebels falling short of the 48 signatures required to trigger a formal contest.
Also aiding Sterling’s recovery was the release of the UK’s first monthly GDP reading, showing the UK economy grew at a healthier 0.3% in May.
GBP/EUR Exchange Rate Soars as German Confidence Drops to Six-Year Low
The Pound Euro (GBP/EUR) exchange rate trended higher during yesterday’s session, with the single currency offering little resistance following the publication of Germany’s latest confidence figures.
Data compiled by ZEW revealed economic sentiment fell to a six-year low in July, with analysts fearing Germany may be hit hard in the event of a global trade war.
GBP/USD Exchange Rate Rebound Stalls as Political Uncertainty Buoys US Dollar Demand
The Pound US Dollar (GBP/USD) exchange rate saw only fleeting gains on Tuesday, with the ‘Greenback’ staving off Sterling’s advances as safe haven demand soared in the wake of political uncertainty in the UK.
Further bolstering the appeal of the US Dollar were the JOLTs job openings figures, with another bumper reading in May pointing to a strong US labour market.
GBP/CAD Exchange Rate Climbs despite Strong Upswing in Oil
The Pound Canadian Dollar (GBP/CAD) exchange rate jumped by over half a cent on Tuesday, with the ‘Loonie’ collapsing in the face of Sterling’s rally despite a sharp uptick in oil prices
However the Canadian Dollar looks poised to jump later this afternoon, with the Bank of Canada’s (BoC) latest policy meeting forecast to conclude with the second rate hike of the year.
GBP/AUD Exchange Rate Rallies as Trade War Fears Grow
After struggling through much of yesterday’s session the Pound Australian Dollar (GBP/AUD) exchange rate rocketed overnight as US President Trump began the process of imposing further tariffs on China, rattling markets.
GBP/NZD Exchange Rate Jumps as Risk Appetite Slumps
The Pound New Zealand Dollar (GBP/NZD) exchange rate surged by around a cent during yesterday’s session, with the ‘Kiwi’ missing out as markets turned on risk sensitive currencies once again.