GBP is trading defensively – Scotiabank
|The Pound Sterling (GBP) is soft, down 0.2% against the US Dollar (USD) as we head into Wednesday’s NA session, Scotiabank's Chief FX Strategists Shaun Osborne and Eric Theoret report.
GBP is trading defensively after Tuesday’s jobs data disappointment
"The GBP’s latest recovery looks to have stalled on the back of Tuesday’s employment release that offered broad disappointment across wage growth, jobless claims, and employment growth. The unemployment rate has pushed to a fresh post-covid high of 5%, threatening the December 2020 high at 5.3%."
"UK rate expectations are showing signs of stabilization following Tuesday’s jobs-driven decline, and UK-US yield spreads have bounced back. However, much of the GBP ‘s recent spread-driven gains have been eroded by this latest data disappointment."
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.