Pound and Euro under pressure
The pound and euro are being pressurized by a stronger US dollar despite Sterling outperforming the majority of its major trading counterparts in the last 24 hours.
“Currently, the British pound to US dollar (GBP/USD) exchange rate is trading marginally higher at USD 1.3085. However, the greenback’s comeback has sent the euro (EUR) lower against pound Sterling (GBP) with the GBP/EUR exchange rate trading 0.2% higher at EUR 1.109,” says foreign currency experts, Halo Financial (www.halofinancial.com).
“The euro to US dollar (EUR/USD) exchange rate came under pressure late in Thursday’s trading session after German CPI (inflation) data plunged to -0.1% for July as widely expected.”
“While the pound (GBP) has lost some traction against the US dollar (USD), the currency pair is trading with a positive bias which should encourage bullish momentum in the UK currency in the coming days,” continues Halo Financial. “Investors have observed several supportive developments which appear to have aided pound Sterling (GBP) higher, namely optimism towards Brexit trade negotiations, improved risk sentiment and better-than-expected UK economic data.”