The pound continues to take direction from the dollar today and will probably do so for the rest of the week, as further speeches from the Federal Reserve are scheduled. Sterling remains weak against the dollar this morning, and is slipping back towards fresh 6-month lows against the euro.
As US-Iran tensions seem to be on the rise, Jeremy Hunt will meet with EU foreign ministers to discuss Iran breaching some of its commitments to its nuclear deal. This comes after heightened tensions following the UK seizing an Iranian oil tanker. In response, Iran threatened to seize a British oil tanker.
The other Conservative Leadership candidate, Boris Johnson, has said that he would seek a trade deal with the US as his first move as Prime Minister.
Unemployment data for the UK will be released tomorrow and inflation data on Wednesday, which, if positive, could have a small impact on the pound. We will also see retail sales data on Thursday, expected to show an increase month-on-month.
