Bank of England, Pound
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The pound to dollar exchange rate (GBP/USD) also displayed resilience, having gone as low as 1.3311 before paring the losses to close out at 1.3375. The resilience suggests the pound is absorbing the rerating in interest rate expectations in a robust fashion.
Sterling fell against the dollar and the pound could see two-way volatility if the BOE cuts interest rates at 12:00 GMT as lower Gilt yields weigh on the currency, but improved macro confidence offers some offset.
Derek Halpenny, head of research in global markets for Europe, the Middle East and Africa at MUFG, attributed the move to the strong PMI data, adding that it was being boosted by an unwinding of traders’ bets against the pound in the run-up to the Budget.
Historically, the British pound sterling has been stronger than many other currencies, including the U.S. dollar. The pound’s value was double that of the U.S. dollar as recently as 2007. In late September 2022, one British pound fell to about $1.05.
GBP/USD surges during Thursday’s North American session as following the release of a benign US inflation report and a “hawkish” rate cut by the Bank of England (BoE). The pair trades at 1.3410 up 0.28% after reaching a daily low of 1.
The Pound to Euro exchange rate ( GBP/EUR) traded at 1.13722 (-0.48%) and the Pound to Dollar exchange rate (GBP/USD) at 1.33256 (-0.74%), with sterling under pressure as markets price in looser monetary policy.
The United Kingdom is one of United States' leading international trade partners. Both countries have nurtured enduring relationships in their political, technological and socioeconomic spheres. However, the dynamics of international trade between the U.S ...
The British Pound Sterling (GBP) started the week trading at strong levels against the Nigerian Naira (NGN), reflecting persistent demand for the UK currency in both the official and parallel foreign
The Euro (EUR) weakens against the British Pound (GBP) on Tuesday, as Sterling outperforms most major peers following the release of UK labour market data. At the time of writing, EUR/GBP trades around 0.