Pound Sterling (GBP) Exchange Rate Flat as Broadbent Remains Cagey
The Pound (GBP) trended in a narrow range against the majority of its peers on Monday, with a speech from Bank of England (BoE) Deputy Governor Ben Broadbent, failing to provide much lift.
Markets had hoped Broadbent would give some insight into which way the bank was likely to vote in August, but speaking to Reuters he would only say that he had not decided how he would vote.
Looking ahead, the GBP exchange rate may trend lower on Tuesday, with an expected drop in the Confederation of British Industry’s (CBI) industrial order figures likely to reflect poorly on the UK economy.
GBP/EUR Exchange Rate Stable as Eurozone Confidence Remains Flat
The Pound Euro (GBP/EUR) exchange rate held steady at the start of the week, with markets reacting to the latest Eurozone confidence figures.
A flash estimate published by the European Commission revealed the consumer confidence index remained at -0.6 in July, with the continued pessimism in the Eurozone leaving the Euro largely muted.
Today will see the publication of the Eurozone’s latest PMI figures, with the Euro potentially weakening should activity in the bloc’s private sector have slowed as expected in July.
GBP/USD Exchange Rate Slides as US Yields Rise
The Pound US Dollar (GBP/USD) exchange rate slide back during Monday’s trading session, with a rise in US Treasury Yields helping to bolster demand for the US currency.
However, keeping the ‘Greenback’ in check was the release of the latest US housing figures, with a dip in existing homes sales clipping the currency’s gains.
GBP/CAD Exchange Rate Subdued as Oil Prices Jump
The Pound Canadian Dollar (GBP/CAD) exchange rate remained muted at the start of this week’s session as the ‘Loonie’ was supported by a rise in crude oil prices when Iran threatened to close a major oil transportation chokepoint.
GBP/AUD Exchange Rate Surges as Chinese Yuan Tumbles
The Pound Australian Dollar (GBP/AUD) exchange rate soared higher on Monday, climbing over half a cent as AUD sentiment continued to be bruised by a sell-off of the Chinese Yuan (CHY).
Australia will publish its latest Consumer Price Index overnight on Tuesday, with the ‘Aussie’ poised to strengthen if inflation rises in line with expectations.
GBP/NZD Exchange Rate Rises on Risk Sentiment
The Pound New Zealand Dollar (GBP/NZD) exchange rate ticked higher at the start of this week’s session, with a slide in risk sentiment pressuring the NZD exchange rate.
Looking forward, New Zealand will publish its latest trade figures later this evening, potentially
weakening the ‘Kiwi’ should the nation’s trade surplus have narrowed as predicted in June.