Pound Sterling Price News and Forecast: GBP falls further against US Dollar
|Pound Sterling falls further against US Dollar while US NFP takes centre stage
The Pound Sterling (GBP) extends the decline for the third consecutive day against the US Dollar (USD), trading near 1.3450 during the European trading session on Thursday. The GBP/USD pair is under pressure as the US Dollar trades firmly, following the release of an unexpectedly strong United States (US) ISM Services Purchasing Managers’ Index (PMI) data for December.
At press time, the US Dollar Index (DXY), which tracks the Greenback’s value against six major currencies, trades close to the four-week high of 98.86 posted on Monday. Read more...
GBP: Pound surges amid hints at EU rapprochement – Commerzbank
For several months now, a topic that had been somewhat overshadowed in recent years by episodes of increased inflation and recurring concerns about growth and public finances has resurfaced in British politics: Brexit. Around last summer, Labour politicians increasingly emphasized that the long-term effects of Brexit would worsen the public finance and growth problems. This increased focus on the issue came as something of a surprise at the time, given that Labour had previously been keen to ignore Brexit, Commerzbank's FX analyst Michael Pfister notes.
"On Monday, the pound significantly appreciated against both the US dollar and the euro, despite third-tier data providing little reason for this. While the depreciation of both the euro and the US dollar certainly helped on Monday, the pound also appreciated idiosyncratically. Apart from data or any major news, one of the few arguments for such an appreciation is the British Prime Minister's statements over the weekend. He emphasized that the United Kingdom wanted to focus on a 'closer relationship' to the EU and turned his attention to the single market after a cautious rapprochement with the EU in recent months." Read more...
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.