Sterling remains under pressure despite positive data release, is this a sign of things to come? (Joseph Wright)
The Pound has come under pressure today despite the UK economy posting some better than expected figures in an important sector of the UK economy.
After beginning the day negatively the Pound received a slight boost this morning as Services PMI data came out better than analysts had expected. The data showed that sentiment within the services sector is positive, which is important for the UK economy as the services sector amounts to more than two-thirds of the countries economic output.
In normal market conditions it wouldn’t be unusual to see the Pound spike upward off this news, and although it attempted to the currency is currency down against all major currency pairs with the exception of the US Dollar, which has dropped in value today also across the board.
Those concerned with the value of the Pound should pay close attention to the outcome of the Supreme Courts decision on whether or not the government needs parliamentary approval before beginning the Brexit process.
This topic appears to be the biggest mover of currency pairs involving the Pound and the Euro could also feel the effects of the decision. The outcome is scheduled to be released between the 12-17th of this month and I expect expectations of the decision to effect Sterling’s value between now and then.
Other than this, economic data could also weigh on Sterling’s value especially if it disappoints considering what happened today. Feel free to get in touch if you wish to discuss any upcoming news releases and how they could effect your upcoming currency exchange requirement.
If you are planning to make a currency exchange involving the Pound and another foreign currency, it’s well be worth your time getting in touch with me on email@example.com in order to ensure you make a well informed decision on when to make that particular transfer, as well as benefiting from highly competitive exchange rates from one of the UK’s leading foreign currency brokerages. Just provide me with a basic outline of your currency requirement and I will be back in touch with you as soon as possible.
You can also call in to speak with me on 01494 787 478, just ask reception for Joe.