Pound (GBP) Climbs on Upbeat Retail Sales
Markets cheered the release of the UK’s latest retail sales reported yesterday, propelling the Pound (GBP) higher against the majority of its peers.
Sales growth rose by 0.2% in July, slowing from a 0.9% expansion in June but defying expectations for a 0.2% contraction and boosting hopes the UK could avoid falling into a recession in the third quarter.
Sterling could struggle to maintain its upward trajectory today however as an absence of notable data turns attention back to Brexit.
GBP/EUR Exchange Rate Jumps on Dovish ECB Chatter
The Pound to Euro (GBP/EUR) exchange rate stuck a fresh one-week high on Thursday in response to an interview with the European Central Bank’s (ECB) Olli Rehn.
Speaking to the Wall Street Journal, the member of the ECB’s rate-setting committee hinted the bank’s next stimulus package could exceed expectations when it is announced next month.
Coming up today we may see the Eurozone’s latest trade figures exert further pressure on EUR exchange rate if the bloc’s trade surplus shrank in June.
Robust US Retail Sales Fails to Dent GBP/USD Exchange Rate
The Pound to US Dollar (GBP/USD) exchange rate jumped by roughly half a cent yesterday in spite of US retail sales figures also impressing.
This muted reaction in USD exchange rates came as a result of renewed US-China trade tensions as the two sides traded barbs and cast doubts over the prospect of talks next month.
Looking ahead, the publication of the latest US consumer sentiment figures could result in additional USD losses this afternoon if consumer sentiment sours.
GBP/CAD Exchange Rate Extends Gains as Oil Prices Tumble
The Pound to Canadian Dollar (GBP/CAD) exchange rate maintained its upward momentum on Thursday, jumping over a cent as the oil-sensitive ‘Loonie’ continued to be undermined by the slump in crude prices.
GBP/AUD Exchange Rate Retreats as Risk Sentiment Improves
After surging through Thursday’s session, the Pound to Australian Dollar (GBP/AUD) exchange rate began to retreat again overnight.
This saw the pairing slipping roughly half a cent from its best levels as reports of substantial stimulus from the ECB cheered markets and bolstered risk sentiment.
GBP/NZD Exchange Rate Accelerates as NZ Manufacturing Slumps
The Pound to New Zealand Dollar (GBP/NZD) exchange rate fluctuated overnight on Thursday.
The ‘Kiwi’ initially gained on improved risk appetite before reversing the trend at the end of the Asian session on the back of some gloomy domestic manufacturing figures.
10:00 EUR Trade Balance (Jun)
15:00 USD Consumer Sentiment (Aug)