Blog


Sterling – Volatile week ahead

Sterling recovered ground today after falling half a cent against the dollar in early Asian deals as traders reacted to another militant attack over the weekend in London ahead of Britain’s national election this week.

Saturday’s attack – the third in England in three months.

Sterling has wobbled over the past two weeks, with investors’ confidence that Prime Minister Theresa May would secure a landslide majority shaken by opinion polls predicting a wide range of outcomes for the June 8 snap election.

Polls have results ranging from a slim majority for May’s Conservative Party to a hung parliament – worrying investors who had bet a landslide win for May would translate into a stronger bargaining position in Britain’s exit talks with the European Union, which begin on June 19.

Besides awaiting further polls, investors were watching for a reading on the UK’s outsized services sector, with the Markit/CIPS services purchasing managers’ index A Reuters of economists predicts a reading of 55 for the index for May versus April’s 55.8. However, the reading came in at 53.8 much lower than expected.

Leave a Reply

Your email address will not be published.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

19 + 16 =

What's Going On?

Currencies 4 You Limited is a company registered in England and Wales (registered no. 06866898). Registered office: Regus House, Victory Way, Admirals Park, Crossway Dartford, DA2 6QD. Currencies 4 You's Payment and Foreign Currency Exchange Services are provided by Ebury Partners UK Limited. Ebury Partners UK Ltd is 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: Z209673X | Terms and Conditions | Privacy Statement | Careers