Pound Sterling (GBP) Exchange Rates Flat on Carney Remarks
The Pound (GBP) traded in a narrow range against many of its peers at the end of last week as Bank of England Governor, Mark Carney warned that the uncertainty over Brexit has ‘dampened’ UK growth.
In a speech in Dublin Carney said that Brexit has hurt wage growth and that a disorderly exit from the EU could make things worse if it results in further losses for the Pound.
Looking to the week ahead the UK’s latest CPI figures are likely to garner the most attention from investors, with an expected slide in inflation last month potentially weakening Sterling.
GBP/EUR Exchange Rate Holds as Investors Reflect on ECB Meeting
The Pound Euro (GBP/EUR) exchange rate continued to trade at €1.12 on Friday, with traders in the single currency content to consolidate their gains following the European Central Bank’s rate decision earlier in the week.
This appeared partly driven by a relatively upbeat inflation outlook from Mario Draghi on Thursday, with the ECB President saying that inflation would remain in the bank’s target range for the foreseeable future.
The Eurozone will publish its final CPI reading for August later this morning, with the Euro potentially falling should the data confirm that inflation slowed last month.
GBP/USD Exchange Rate Slides as Slowing US Retail Sales Fails to Knock Confidence
The Pound US Dollar (GBP/USD) exchange rate fell from a six week high at the end of last week’s session as a jump in US consumer confidence offset a slowdown in domestic retail sales.
US consumer confidence jumped to its highest levels since March as households shrugged off trade wars concerns, meaning USD investors were willing to overlook some weaker-than-expected US retail sales last month.
Looking ahead a lull in notable US data may see the focus remain on US-Chinese trade tensions at the start of this week’s session, potentially boosting USD demand if the world’s two largest economies continue to edge towards a full-blown trade war.
GBP/CAD Exchange Rate Stable as Oil Prices Continue to Retreat
Another drop in crude prices saw the Pound Canadian Dollar (GBP/CAD) exchange rate remain range bound on Friday, with the oil-sensitive ‘Loonie’ struggling to make any headway due to a lack of any other market-moving data.
GBP/AUD Exchange Rate Climbs as Aussie Pressured by Strengthened US Dollar
The Pound Australian Dollar (GBP/AUD) exchange rate climbed around half a cent at the end of last week’s session as the upswing in the US Dollar led to reduced demand for the ‘Aussie’.
GBP/NZD Exchange Rate Climbs as Risk Appetite Slides
The Pound New Zealand Dollar (GBP/NZD) exchange rate accelerated by around half a cent during the European session on Friday, with the ‘Kiwi’ also falling foul of a stronger US Dollar.