The pound continued to trend higher last week as investors became increasingly optimistic of a no-deal & brexit will be avoided

Pound comes under pressure as UK political uncertainty persists Political volatility in the UK prompted sharp movement for the pound over the course of the last week as Theresa May saw off a leadership challenge, securing her position for another twelve months. While the European Central Bank (ECB) followed through on plans to end its [...]

After two months of stagnation the UK gross domestic product picked up to just 0.1% in October, limiting the appeal of the pound as concerns over the economic outlook persist. The Eurozone economy continued to show signs of weakening, meanwhile, as November’s raft of manufacturing and services PMIs pointed towards another month of easing growth. [...]

In a fresh blow for the euro November’s Eurozone consumer price index slowed from 2.2% to 2.0%, falling back in line with the European Central Bank’s (ECB) inflation target. This easing in inflationary pressure gives ECB policymakers less incentive to consider raising interest rates from their current lows, keeping the central bank in a state [...]

Pound under pressure as MPs push back against Brexit deal Pound exchange rates slumped sharply on Thursday last week after Brexit secretary Dominic Raab unexpectedly resigned in protest against at Theresa May’s proposed Brexit deal. This reversed the positive impact of the initial news that the UK and EU had finally reached an agreement, also [...]

Brexit was back in the spotlight last week, driving heavy losses in the pound as EU leaders rejected Theresa May’s Chequers proposals However the pound looks to be mounting a recovery at the start of this week’s session, with GBP/EUR climbing to €1.1176 and GBP/USD surging to US$1.3156. Looking ahead, the focus for investors this [...]

Comments from chief EU negotiator Michel Barnier prompted the pound to surge higher across the board last week, with investors betting on the odds of a softer form of Brexit. This relief proved short-lived, however, as Barnier later clarified that the EU’s red lines have not changed and that the prospect of a no-deal Brexit [...]

Brexit worries picked up once again during the course of the last week, with the deadline for the conclusion of withdrawal treaty talks pushed back from October to November. In the wake of the bank holiday weekend the pound still looks a little sluggish, maintaining its downside bias against both the euro and US dollar. [...]

Trade in the pound was mixed last week as renewed confidence of an August rate hike from the Bank of England was offset by a blurry outlook regarding Brexit. The mixed trade in Sterling looks set to continue at the start of this week as GBP/EUR slides to €1.1224, while GBP/USD edges up to US$1.3109. [...]

It was another week of volatility for many currencies last week, with the market continuing to be dominated by an escalation in global trade tensions.