Pound (GBP) Fluctuates, Snap Election Ahead
The Pound (GBP) trended higher yesterday, bouncing back from some initial weakness after Labour leader Jeremy Corbyn announced his party would back an early election.
GBP appeared to be supported by hopes that the election in December will help break the current Brexit deadlock in Parliament.
However Sterling gave back some of these gains later in the evening when MPs actually approved the vote.
Expect UK politics to continue to determine the direction of the Pound today, with Prime Minister’s Questions giving the two main parties a chance to get their campaign messages across early.
GBP/EUR Exchange Rate Advances Before Slew of Eurozone Data
The Pound Euro (GBP/EUR) exchange rate firmed on Tuesday, with the single currency struggling to find momentum in the absence of any notable Eurozone economic releases.
There will be plenty of data for EUR investor to sink their teeth into today however, starting with Germany’s last jobs report and the Eurozone’s business confidence figures.
However it may be Germany’s consumer price index which has the greatest bearing on the Euro today, with the single currency poised to weaken this afternoon if inflation continued slowing in October.
GBP/USD Exchange Rate Buoyed Ahead of Fed Rate Decision
Following an initial wobble, the Pound to US Dollar (GBP/USD) exchange rate trended higher throughout most of yesterday’s session.
This came as the ‘Greenback’ remained in a holding position ahead of today’s Federal Reserve rate decision. The bank is overwhelming expected to deliver its third consecutive rate cut.
The latest US GDP figures will also be in focus today.
GBP/CAD Exchange Rate Gains as Oil Prices Slip Back to $60
The Pound to Canadian Dollar (GBP/CAD) exchange rate accelerated by around half a cent on Tuesday as the oil-sensitive ‘Loonie’ was pressured by a more than 1% drop in Brent crude prices.
However, the Canadian Dollar may show more resilience today as the Bank of Canada (BoC) is expected to maintain its neutral bias as it concludes its October policy meeting later this afternoon.
GBP/AUD Exchange Rate Slips as Australian Inflation Meets Expectations
The Pound to Australian Dollar (GBP/AUD) exchange rate was left on the back foot overnight on Tuesday, with the pairing’s attempts to rally aborted after the ‘Aussie’ was buoyed by Australia’s latest inflation figures.
GBP/NZD Exchange Rate Climbs amid US-China Trade Uncertainty
The Pound to New Zealand Dollar (GBP/NZD) exchange rate found some support overnight on Tuesday, with the ‘Kiwi coming under pressure following reports a US-China trade deal may not be ready in time for next month’s APEC summit.