GBP Exchange Rate News: Pound Jumps as Tory Manifesto Avoids 2017 Disaster

Pound (GBP) Rallies as Conservatives Maintain Lead in Polls

The Pound (GBP) got off to a solid start this week, rallying on the back of polling data which showed the Conservatives continue to dominate in the polls.

Markets had been wary ahead of the weekend that the launch of the Tory election manifesto could sour support for the party as it did in 2017.

However these fears proved to be unfounded, with Boris Johnson able to maintain his lead over Labour as his ‘cautious’ manifesto avoided rocking the boat.

Looking ahead, UK politics will remain in focus through today’s session amidst a lull in notable UK economic data.

GBP/EUR Exchange Rate Rockets as German IFO Data Fails to Impress

The Pound Euro (GBP/EUR) exchange rate shot higher on Monday as broad weakness in the single currency left it particularly vulnerable to Sterling’s advances.

This slump in the Euro came in the wake of Germany’s latest IFO survey which, in spite of a modest improvement in business confidence, indicated Germany remains firmly in contraction territory.

The focus for EUR investors today is likely to be on the European Central Bank (ECB) following speeches by two prominent policymakers earlier this morning.

GBP/USD Exchange Rate Jumps as Safe-Haven Demand Falters

The Pound to US Dollar (GBP/USD) exchange rate climbed around half a cent at the start of the week as a risk-on mood in markets weighed on demand for the safe-haven ‘Greenback’.

This came in light of renewed US-China trade optimism as well as hopes for a peaceful solution to the protests in Hong Kong, after pro-democracy candidates claimed a convincing victory in the city’s council elections.

In the absence of any notable US economic data, the US Dollar may continue to give ground throughout today’s session if markets remain risk-on.

GBP/CAD Exchange Rate Gains Capped by Robust Oil Prices

The Pound to Canadian Dollar (GBP/CAD) exchange rate ticked higher on Monday, but was only able to recoup a portion of Friday’s losses as the oil-sensitive ‘Loonie’ was underpinned by robust crude prices.

GBP/AUD Exchange Rate Surges Despite Improved Risk-Appetite

The Pound to Australian Dollar (GBP/AUD) exchange rate leapt by around a cent at the start of the week, with AUD investors bearish in spite of the renewed US-China trade optimism.

GBP/NZD Exchange Rate Retreats as NZ Retail Sales Impress

The Pound to New Zealand Dollar (GBP/NZD) exchange rate fell from its best levels overnight, with NZD strengthening as domestic retail sales rocketed up from 0.2% to 1.6% in the third quarter.

Coming up later tonight we have the publication of the Reserve Bank of New Zealand’s (RBNZ) Financial Stability Report, which could weigh on the ‘Kiwi’ if a cautious outlook from the bank is seen as increasingly the odds of further rate cuts.

 

Matthew Andrews

Contact Matthew Andrews


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