Sterling peaks begin to fade with a quiet weak ahead

27 May, 2014

Rob Bastin

As we return from the bank holiday weekend, sterling finds itself just shy of its recent peaks against most majors. Recently the pound has seen a 18 month high against the Euro and 5 year high against the USD, largely thanks to some excellent retail sales figures posted last week. Since then public sector net borrowing figures have disappointed and subsequently traders sentiment towards the pound is now faltering much like the spring weather!

The weak ahead is absent of any UK data to support the pound and so it is extremely likely that we may now be entering a correction phase of lower exchange rates against likes of the Euro and US Dollar. With this in mind anyone currently holding on watching the markets improve would be wise to get in touch with your brokers to discuss your options and ensure you don’t miss these current peak buying levels as they typically turn and disappear far quicker than they arrive!

best exchange rates

The weak ahead is dominated by Euro and US releases with the main highlights listed as below:

Tuesday 27th

  • 1:30pm – US Durable Goods Orders
  • 2:45pm – US Services PMI3:00pm – US Consumer Confidence

Wednesday 28th

  • 10:00am – Euro-zone confidence and sentiment figures

Thursday 29th

  • 1:30pm – US Gross Domestic Product and Jobless Claims
  • 3:00pm – Pending Homes Sales

Friday 30th

  • 1:30pm – Core Personal Consumption Expenditure
  • 2:45pm – Chicago PMI and Consumer Sentiment