GBP/USD: Here comes the new lows
|GBP/USD is leaning lower in choppy trading amid the coronavirus crisis. The UK is readying a lockdown as Brits are flouting social distancing guidelines, FXStreet’s analyst Yohay Elam reports.
Key quotes
“Prime Minister Boris Johnson is now preparing for a forced lockdown and that is already weighing on the pound, as it would further hurt the British economy.”
“US lawmakers in the Senate failed to agree on stimulus measures to help struggling businesses. The disagreements in Washington are weighing on global stocks.”
“Earlier in the day, falling US yields weighed on the dollar, but the world's reserve currency seems to be enjoying demand as a safe-haven asset.”
“One thing is clear – volatility is set to remain elevated. Pound/dollar's daily range of nearly 200 pips is relatively modest in comparison to last week but is significantly beyond the pre-crisis levels.”
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.