Pound Sterling Exchange Rate Daily Update: GBP Soars after Calls for Brexit Delay

Pound Sterling (GBP) Exchange Rates Rise on Brexit Delay Hopes

The rally in the Pound (GBP) continued unabated on Wednesday, with the UK currency enjoying some notable gains against the majority of its peers amid sustained Brexit optimism.

This optimism appeared mostly driven by reports that Labour would back a cross-party effort to stop a no-deal Brexit through an amendment to delay the process if MPs reject Theresa May’s ‘Plan B’.

In the absence of any notable domestic data, Brexit speculation is likely to continue to drive sentiment in Sterling throughout today’s session as well.

GBP/EUR Exchange Rate Advances Ahead of ECB Meeting

The Pound Euro (GBP/EUR) exchange rate maintained its upward trajectory during yesterday’s session, with EUR investors appearing to become increasingly bearish ahead of the European Central Bank’s (ECB) first rate decision of 2019.

Following a surprisingly hawkish outlook from the bank in December, economists are expecting the ECB to strike a notably more cautious tone this afternoon, potentially even revising its forecast for a rate hike later in the year.

However, this will not be the only event in focus for EUR investors today, with the release of the Eurozone’s latest PMI figures potentially putting pressure on the Euro as well if growth in the bloc’s private sector continues to disappoint.

GBP/USD Exchange Rate Surges as Safe-Haven Demand Slumps

The Pound US Dollar (GBP/USD) exchange rate broke through a key barrier of resistance to strike a fresh two-month high on Wednesday as the ‘Greenback’ struggled to offset Sterling’s advance during a cautious return to risker assets.

This renewed risk appetite came amidst hopes that Beijing’s stimulus plans may help to shore up China’s economy, potentially helping to mitigate its impact on global growth.

Looking ahead, the US Dollar may remain on the back foot on Thursday, if the latest US PMI estimates lend further support to speculation that the US economy is slowing.

GBP/CAD Exchange Rate Surges as Canadian Retail Sales Drop

The Pound Canadian Dollar (GBP/CAD) exchange rate shot higher yesterday, with the ‘Loonie’ crumbling in the afternoon following a sharper-than-expected contraction in domestic retail sales in November.

GBP/AUD Exchange Rate Climbs Despite Australian Employment Topping Expectations

The Pound Australian Dollar (GBP/AUD) exchange rate struck a new three-month high overnight on Wednesday, with a surprise drop in unemployment failing to bolster the ‘Aussie’ after the National Australian Bank announced it would be hiking rates on variable mortgages for its customers.

GBP/NZD Exchange Rate Rebounds from Session Lows

After falling back early in the session the Pound New Zealand Dollar (GBP/NZD) exchange rate rallied on Wednesday recouping all of its losses as the ‘Kiwi’ struggled to hold off Sterling’s advances.

Luke Trevail

Luke studied Journalism at university but quickly moved into the financial sector, initially working in retail banking before joining TorFX in 2007. As a Senior Account Manager Luke assists in overseeing the management of the company’s exposure to currency volatility. He uses his years of foreign exchange experience to produce regular news updates exploring the latest currency movements.

Contact Luke Trevail