Pound Sterling (GBP) Flat as May Steps Down
The Pound (GBP) was mostly flat at the end of last week’s session as Theresa May stepped down as leader of the Conservative party.
Helping Sterling to stabilise was also the result of the Peterborough by-election, which saw the Labour party narrowly hold onto the seat, preventing the Brexit Party from putting its first MP into Parliament.
Coming up this morning we have the release of the UK’s latest GDP figures, which are likely to dampen the appeal of Sterling as economists forecast growth will have contracted for a second consecutive month in April.
GBP/EUR Exchange Rate Stable Following Gloomy German Data
The Pound Euro (GBP/EUR) exchange rate was buoyed on Friday as markets reacted to Germany’s latest industrial production figures.
This saw a sharper-than-expected contraction in industrial production strip the single currency of some of Thursday’s gains as it stoked concerns that the Eurozone’s largest economy could stagnate or even fall into a recession in 2019.
Looking ahead, amidst a lull in notable Eurozone data throughout the first half of the week, we could see EUR investors turn their focus back to Italy and its debt feud with the EU.
GBP/USD Exchange Rate Climbs on Weak US Payrolls
The Pound US Dollar (GBP/USD) exchange rate closed last week’s session on a high, with the pairing accelerating in the wake of some softer-than-expected US payrolls figures.
US nonfarm payrolls came in at just 75,000 last month, further fuelling speculation that the Federal Reserve will cut interest rates this year to prevent a slowdown in the US economy.
In focus for USD investors today will be the latest JOLTs job data, with any drop in new job openings likely to keep up the pressure on the US Dollar.
GBP/CAD Exchange Rate Muted as Canadian Unemployment Strikes Record Low
The Pound Canadian Dollar (GBP/CAD) exchange rate edged lower on Friday, as the ‘Loonie’ was supported by Canada’s latest employment report, which revealed domestic unemployment had fallen to 5.4%, the lowest level since records began in 1976.
GBP/AUD Exchange Rate Climbs as Chinese Imports Slump
After a mixed end to last week’s session, the Pound Australian Dollar (GBP/AUD) exchange rate is off to a strong start this week as a dramatic slump in Chinese imports last month may bode poorly for Australia’s global trade driven economy.
GBP/NZD Exchange Rate Rallies on Weak China Trade Figures
The Pound to New Zealand Dollar (GBP/NZD) exchange rate also opens this week on a solid footing, with the ‘Kiwi’ slumping in response to China’s disappointing trade figures.