Yesterday’s high: $1.2909
Yesterday’s low: $1.2809
Pound Drops Sharply on Brexit Uncertainty
The Pound plummeted against the US Dollar on Tuesday as markets became increasingly wary about the UK’s trade prospects with the EU post Brexit, with reports suggesting that trade negotiations are unlikely to get underway in October as some UK officials had hoped.
Meanwhile, the US Dollar found further gains yesterday after as Richmond Fed Manufacturing Index beat expectations that it would slip to 12 in August, holding at 14.
USD Outlook: US Home Sales to Rise?
The USD GBP exchange rate may strengthen further later this afternoon as the US releases its latest New Home Sales figures, with economists forecasting that sales will have climbed slightly from 610,000 to 612,000 in July.
However, the US Dollar’s movement may be limited as markets await Janet Yellen’s speech at the Jackson Hole summit later this week, with investors hoping that the Federal Reserve Chair will hint at the bank’s plans for monetary policy over the coming months.
Meanwhile, the release of the UK’s latest GDP estimate on Thursday may pressure the Pound as economists warn that that revision of June’s retail sales figures could drag on Britain’s economic growth in the second quarter.
15:00 US New Home Sales
09:30 UK GDP Second Estimate Q2
If you need to make a USD transfer but don’t have an account with us, click here to get started.
Senior Currency Broker
T: 01442 892 065