Small sterling respite

Yesterday the Pound saw a small relief in GBP-EUR following a downward run in Pound strength in recent weeks and gained almost a cent as the trading day progressed. Likely to be down to some poor EUR data. The pound’s recent decline has been fuelled by Brexit headlines coming back to the forefront as the Prime Minister comments that the UK will go for a hard Brexit and uncertainty over negotiations resurface. A great opportunity for Euro and Dollar sellers as rates near post Brexit lows but not such good news for those looking to buy.

Yesterday’s afternoon trading was dominated by an array of US data. Mainly positive with Markit Services PMI and US Consumer Confidence both coming in better than expected. And today sees another fairly quiet morning and the afternoon focus is on the US with Augusts’ Durable Goods Orders data at 13:30, followed by ECB president, Mario Draghi speech at 14:30 where he will talk about the current economic outlook for the Euro, and from 15:00, FED President Janet Yellen speaks.

Markets are continuing to push lower and as uncertainty surrounding Brexit in the coming months will likely only push rates further in the wrong direction. Remember we can secure today’s rate for only 10% deposit with our forward contracts.
Don’t get caught out and get in touch with the Currency Index office today and speak to one of our friendly brokers about your options and how we can help you save money on your foreign exchange.