Currency Note


Sterling holds steady ahead of central bank decisions

The pound held its ground against major currencies yesterday ahead of key economic data expected to come later this week. Tomorrow morning, UK inflation is forecast to fall to 3.5%, after two months of no movement. Should the rate reduce, it signals that the Bank of...

USD: Dollar index soars

The dollar index is hovering around its highest levels in two weeks ahead of the Fed’s interest rate decision on Thursday. While investors widely expect the central bank to hold rates steady this week, they will be focused on any hints about the scale and timing...

GBP: BoE to step up

A letter to BoE governor, Andrew Bailey, from over 50 leading economists and campaign groups warned the Bank is falling behind other major central banks as its work on green measures falls short.

Is this the week stability ends for sterling?

Sterling has been becalmed since the start of the year, barely moving either way against the euro and only marginally more lively against the US dollar. The reason is the well-signposted refusal of the Bank of England – or indeed central bankers from other countries –...

Fed rethink propels US dollar

Data from across the Atlantic caused some significant moves in currency markets last week. The pound lost 1% to the US dollar and half a per cent to the euro, while EUR/USD lost two thirds of a per cent over the course of the week. Both European currencies remain well...

GBP: Watching the votes

The Bank of England are once again expected to hold interest rates at their current levels on Thursday, so we might have to interest ourselves in the voting records of MPC (Monetary Policy Committee) members. The last decision saw a difference in opinion, but it’s...

EUR: France the canary?

The ECB has been warning of resurgent price pressures. On Friday, France reported inflation had increased to 3% year-on-year in February. It was a small increase, but the eurozone will be hoping France is not the canary in the coalmine for rising inflation. GBP/EUR:...

USD: Back in the black

The US dollar rebounded last week, posting strong gains over the pound and the euro. Whether it can maintain that strength is another question, although it may well benefit from changing interest rate expectations. EUR/USD: the past year 1 Min 5 Min 1 Hr 1 Day 1 Wk 1...

USD: Hot PPI boost dollar

A reversal for Producer Price Inflation, rising by 0.6% last month, strengthened the dollar yesterday – while weakening the stock market – in the week before an interest rate decision from the US Federal Reserve. Today we’ll hear the Michigan Consumer Sentiment Index...