Pound to Euro – Sterling Rises on Reduced Chances of Negative Rates

Pound to Euro – Sterling Rises on Reduced Chances of Negative Rates

The pound has risen against many of its peers this week as Governor Bailey of the Bank of England indicated there were ‘a lot of issues’ around the prospect of negative interest rates. Such a move has been loosely priced into the value of sterling since despite a Brexit deal removing the uncertainty of a disorderly no-deal relationship with the EU, the new lockdown which came into force last week will have sapped economic confidence and growth. The UK economy could now be in store for...
GBP AUD Sinks After Bank of England Joins Dovish Path

GBP USD Rate Breaks Through 1.37 Resistance Level

The GBP USD rate extended its October recovery on Thursday, supported by a rally in global stock markets and positive investor sentiment. The pair climbed to its highest level since September 28, breaking through the 1.37 resistance level. The pound’s jump higher came despite comments from one of the most dovish members of the Bank of England’s (BoE) Monetary Policy Committee (MPC). Policymaker Silvana Tenreyro said the BoE should not raise interest rates to tackle inflation triggered by energy higher prices if it believes these effects...
GBP AUD Weak as RBA Governor Signals 50bps Hike 

AUD to GBP Quiet as Traders Wait for Data Releases

The AUD to GBP exchange rate started the week flat at the 0.5665 level which ended the week. Traders are awaiting economic data on the week and there were no headlines over the weekend to move the pair. AUDGBP started the year with a strong rally as the Aussie dollar took advantage of the pound’s virus woes, but Australia has since seen cases emerge, while the UK ramps up vaccines with a view to exiting the strict lockdown measures. Aussie Unphased by Chinese Data The Australian Dollar...
GBP EUR Flat Despite Government Debt Pressure

GBP EUR Slips from 1.2000

The Pound to Euro exchange rate was -0.21% lower on Thursday after the European Central Bank minutes confirmed a bullish stance on interest rates. Analysts are looking to next week’s ECB policy meeting but are expecting an end to stimulus purchases in Q3, before any rate hike comes. European retail sales jumped but were driven by fuel increases. The GBP to EUR was trading at 1.1955 after seeing resistance again at the key 1.2000 level. ECB minutes confirm a hawkish stance on interest rates The European Central...
GBP EUR Exchange Rate: The Week Ahead June 26th 

GBP EUR Exchange Rate: The Week Ahead September 12th

The GBP EUR exchange rate was higher on the week after the pair surged on Thursday with the latest ECB interest rate and policy meeting. The bank held interest rates at zero but said that they could start buying bonds at a reduced rate over the next months. Traders see the move as being pressured by the recent rise in inflation and will remove some of the artificial support from the economy over the second half of the year. The GBP to EUR was trading...
GBP AUD Sees Strong Gains After BoE Rate Hike

Pound to Dollar Rate Buoyed by BoE Comments

The pound jumped to a two-week high against the dollar on Monday morning. Traders have been looking for signs that the Bank of England (BoE) will be prompted to raise interest rates due to inflationary pressures. Their heads were turned over the weekend when Michael Saunders – an external member of the central bank's Monetary Policy Committee – said he expects the cost of borrowing to rise “significantly earlier” than currently forecast. However, he did not signal that a rate hike – which would...

EUR GBP Heads Lower After BoE Rate Hike

The EUR GBP exchange rate was lower ahead of the Bank of England’s key interest rate meeting. Markets are expecting a 0.15% rate hike as a minimum and there is sure to be volatility ahead. Elsewhere, UK services PMI and house prices showed an improvement. The EUR v GBP is trading at 0.8480 and ECB Chief Christine Lagarde also took some wind out of the euro’s sail with dovish rate hike comments. European central bank ‘very unlikely’ to raise rates in 2022 The European Central Bank is...
GBP USD Jumps to Fresh March High

GBP USD Plummets to Lowest Level of 2021

The pound sunk to its lowest level this year against the dollar after the UK economy grew at a slower pace than expected in the third quarter. The UK currency fell below the 1.34 support level for the first time since December 2020, when fears of a no-deal Brexit spooked investors. Data released by the Office for National Statistics (ONS) on Thursday showed the UK economy grew 1.3% in the third quarter, falling short of economists’ forecasts of 1.5%. It also represented a striking slowdown from...
GBP USD Exchange Rate Set for First Weekly Gain in Four 

Pound to us Dollar Exchange Rate Hits 4 Month High

Pound to us Dollar exchange rates have hit a 4 month high against the Dollar in trading this week, as investors and speculators steer clear from the greenback due to coronavirus and political fears. The virus really has taken hold of various States in the U.S and there are vast concerns that the current package for those out of work, costing $2.4 Trillion which is due to run out at the end of this month may not be replaced, which would be extremely negative for...
GBP EUR Higher After French Economy Shrinks

GBP EUR Seeks Further GDP Revision Gains

The GBP EUR exchange rate rallied into the weekend after the UK’s GDP was revised higher meaning the economy was only 3.3% lower than its pre-virus highs. In a week light on economic data, the pair will look to news headlines and analysts will consider the rate situation after last week’s inflation in Germany and Europe came in at 4.1% and 1.9% respectively. The GBP to EUR trades at 1.1690 and is pressing the 1.1700 level once again. UK business confidence 'falls off a cliff' to...