Pound Sterling Exchange Rate News: GBP Jumps as Conservatives Take an Early Lead in the Polls

Pound (GBP) Accelerates on Election Speculation

The Pound (GBP) trended higher on Thursday, bolstered by early polling data showing a clear lead for the Conservatives.

YouGov’s first poll since the 12 December election was confirmed saw the Tories enjoying a 15 point lead over Labour.

On top of this were reports suggesting the Brexit party might stand in as few as 20 constituencies in an effort to avoid spitting the vote with the Conservatives.

Barring any major developments UK politics may take a back seat today, with the UK’s manufacturing PMI poised to send Sterling lower if factory growth continued to contract in October.

 

GBP/EUR Exchange Rate Rallies despite Surprisingly Resilient Eurozone GDP

The Pound Euro (GBP/EUR) exchange rate climbed roughly half a cent yesterday, in spite of Eurozone GDP coming in stronger-than-expected.

A preliminary estimate revealed economic growth in the block held at 0.2% in the third quarter, beating forecasts it would slip to just 0.1%.

However the initial estimate excludes Germany, which EUR investors fear is at severe risk of slipping into a recession in the third quarter.

In the absence of any Eurozone economic data, the Euro may struggle to recoup its losses today.

 

GBP/USD Exchange Rate to Extend Gains as US Employment Growth Slows?

The Pound to US Dollar (GBP/USD) exchange rate came just short of a multi-month high yesterday after the Federal Reserve’s preferred indicator of inflation printed below expectations in September.

Looking ahead, the US Dollar may remain on the back foot today as the highly influential non-farm payroll report is expected to reveal the US workforce only expanded by 89,000 last month.

The ISM manufacturing PMI could add to the pressure on USD exchange rates if US factory growth contracted for a third consecutive month in October.

 

GBP/CAD Exchange Rate Strengthens as Canadian Growth Misses

The Pound to Canadian Dollar (GBP/CAD) exchange rate ticked higher on Thursday with the ‘Loonie’ struggling to find support as a rebound in domestic GDP fell short in August and oil prices slipped back to $60 a barrel.

 

GBP/AUD Exchange Rate Gains Capped by Positive Chinese Data

After jumping around a cent during the European session on Thursday, the Pound to Australian Dollar (GBP/AUD) exchange rate struggled to maintain its upward trajectory overnight.

The ‘Aussie’ found support following a surprise bounce in Chinese manufacturing activity last month.

 

GBP/NZD Exchange Rate Stalls as Risk Sentiment Improves

The Pound to New Zealand Dollar (GBP/NZD) exchange rate also failed to extend its gains overnight as the ‘Kiwi’ was buoyed by a risk-on mood in markets.

 

Matthew Andrews

Contact Matthew Andrews


Related