Blog


09/02/2021 – This Morning’s Exchange Rates

  • Posted by currencies in Rate Alerts
  • February 9, 2021
  • No Comments

Sterling hit its highest level against the dollar since April 2018 and traded just below eight-month highs against the euro, with analysts citing Britain’s lead in COVID-19 vaccinations as a positive for the currency.

Analysts have largely been constructive on the pound – particularly against the euro – this year, noting that Britain’s COVID-19 vaccine rollout has been swifter in comparison to Europe.

Helping the pound broadly has also been the Bank of England, which at its meeting last week pushed back at market expectations of negative interest rates. Money markets do not reflect negative rates from the Bank at least as far out as August 2022.

Britain is looking at greater testing of all people who have arrived from abroad while they are self-isolating to defend against new variants of the virus that causes COVID-19, a minister said on Tuesday.

Speculators increased their net long positions on the pound – bets that it will strengthen – in the week up to February 2.

The US dollar is on the back foot again today as investors continue to push risk markets higher ahead of the proposed USD1.9 trillion US stimulus plan.

The main US indices continue to print fresh highs, while European bourses play catch-up due to a lagging covid-19 vaccination program. Last week’s US non-farm payroll print was weaker-than-expected and further fuelled belief that the Fed will continue to keep monetary policy looser-for-longer until the employment market rebounds to near pre-pandemic levels.

GBP/EUR 1.1366 GBP/USD 1.3770 GBP/AED 5.561

GBP/AUD 1.7805 GBP/CHF 1.2300 GBP/CAD 1.7513

GBP/NZD 1.9012 EUR/USD 1.2100 GBP/ZAR 20.250

Leave a Reply

Your email address will not be published. Required fields are marked *

What's Going On?

Currencies 4 You Ltd is a company registered in England and Wales (registered no. 06866898). Registered office: Regus House Victory Way Admirals Park, Crossway, Dartford, Kent, DA2 6QD. Currencies 4 You Ltd Payment and Foreign Currency Exchange Services are provided by Currency Cloud Limited, Equals Connect Limited and Ebury Partners UK Limited. Currency Cloud Limited. Registered in England No. 06323311. Registered Office: Stewardship Building 1st Floor, 12 Steward Street London E1 6FQ. The Currency Cloud Limited is authorised by the Financial Conduct Authority under the Electronic Money Regulations 2011 for the issuing of electronic money. FCA registration number: 900199. Payment Services are provided by Equals Connect Limited, registered in England and Wales (registered no. 07131446). Registered Office: Vintners’ Place, 68 Upper Thames St, London, EC4V 3BJ. Equals Connect Limited are authorised by the Financial Conduct Authority to provide payment services (FRN: 671508). Currencies 4 You Ltd is partnered with Ebury Partners UK Limited as its Programme Mananger. Ebury Partners UK Limited are authorised and regulated by the Financial Conduct Authority as an Electronic Money Institution. (Reference Number 900797). Ebury Partners UK Ltd is registered with the information commissioners office with registration number: ZA345828. | Terms and Conditions | Privacy Statement | Careers