HOW HAS THE POUND BEEN PERFORMING?
Against the US Dollar
GBP opened the week just below 1.2750 in which headed above 1.2900 by mid-morning. The momentum was on the back of BoE's Deputy Governor Dave Ramsden saying that the use of negative interest rates was not imminent. On Wednesday, the Pound advanced a little higher against the Greenback, as a turbulent first presidential debate kicked off on Tuesday, seeing the Pound reach 1.2950. The pound retreated lower for the rest of the week but stayed positioned around the 1.2870 region as of this morning.
Against the Euro
GBP started the week just above 1.0950 on Monday morning pushing to highs of 1.1075 as Brexit negotiations started in Brussels. The market view has been that the chances are roughly 50/50 on avoiding a no-deal, but Sterling advanced as the UK's optimism of a deal increases. Sterling remained strong from it's advances as the Euro became under some selling pressure, as questions and worries were asked about the EU recovery fund. GBP currently trading just above the 1.10 region.
Brexit, Covid & Economic Data
- If you have US Dollars or Euros to buy or sell please contact the desk. It's important to try and get the timing right with the Pound being very volatile, our desk can try and support to the best we can.
- On going meetings/negotiations with the UK & EU will fluctuate the Pound.
Please note, this can cause a negative impact for Sterling.
ECONOMIC CALENDAR
Next week
5th October - 9th October 2020
Monday:
08:15 EU Spain Markit Services PMI
09:00 EU Markit Services
14:45 US Markit Services PMI
15:00 US ISM Services PMI
23:00 UK Like for Like Retail Sales
Tuesday:
09:30 UK Markit Construction PMI
13:30 US Trade Balance
Wednesday:
19:00 US FOMC Minutes
20:00 US Consumer Credit
Thursday:
12:30 EU Monetary Policy Meeting Accounts
13:30 US Continuing Jobless Claims
13:30 US Initial Jobless Claims
13:30 US Initial Jobless Claims 4 week
Friday:
07:00 UK Trade Balance
07:00 UK Industrial Production
07:00 UK Total Trade Balance
07:00 UK GDP
16:15 UK BoE's Haldane Speech
