The pound is still weaker against the euro and the dollar this morning following its slip last week. The Omicron variant continues to weigh on sterling as the markets worry about its potential effects.
On Friday, Bank of England official Michael Saunders said he wanted more information about the Omicron variant before deciding whether to vote for an interest rate hike this month. He explained that “there could be particular advantages in waiting to see more evidence on its possible effects on public health outcomes and hence on the economy.”
There are early signs that the UK’s lorry driver shortage has started to improve according to Logistics UK, who represent freight and haulage businesses. They said that more trainees are now coming through and the number of drivers leaving the profession is easing.
The dollar is stronger this morning, despite a disappointing non-farm payrolls report on Friday. All eyes will be on US inflation figures this week – core inflation for November is expected to come in at 4.9%.
Make sure any upcoming transactions are protected against the risks of sudden market movements. Secure a fixed exchange rate now with a forward contract; call your Personal Trader on 020 7898 0541 to get started.
