Home » GBP » Pound Sterling to US Dollar (GBP/USD) Exchange Rate Could Extend Gains if Positive UK News Continues

Pound Sterling to US Dollar (GBP/USD) Exchange Rate Could Extend Gains if Positive UK News Continues

British Pounds

Over the course of last week the UK’s improving growth prospects saw the Pound advance on several of its most traded peers and post a five-day gain against the safe-haven US Dollar.

The Pound Sterling to US Dollar Exchange Rate was in the region of 1.5480 as of 10:35 GMT

1 US Dollar is currently worth 0.6462 pence

Although Sterling has edged away from last week’s highs, if more positive domestic news is released in the days ahead the British currency’s upward trend could continue, and economists have issued some fairly optimistic forecasts for this week’s big data.

Tomorrow’s gauge of UK house prices is expected to climb by 24 per cent in July, following June’s 21 per cent advance. If this prediction proves accurate home prices will be at their strongest level for over three years.

Meanwhile, the UK consumer price index has been forecast to edge from 2.9 per cent in July year-on-year to 2.8 per cent, with the producer price index advancing 1.2 per cent following June’s 1.0 per cent gain.

The GBP/USD exchange rate hit a high of 1.5521

Then on Wednesday UK employment data may show that the British economy added 34,000 jobs in July, better than June’s gain of 16,000.

Economists are expecting the unemployment rate to hold at 7.8 per cent.

Lastly, a retails sales gain of 0.6 per cent month-on-month is anticipated for Thursday.

If the UK data maintains last week’s trend of surprising to the upside, adding to signs that the UK’s economic recovery is starting to gather momentum, the Pound could hit multi-week or multi-month highs against its rivals.

However, US news will also be responsible for fluctuations in the GBP/USD pairing. If this week’s US inflation figures and advance retail sales report fuel speculation regarding the Federal Reserve reining in stimulus next month Sterling gains could be tempered.

German and Eurozone growth data will be a major source of GBP/EUR movement in the days ahead.

Current Pound Sterling (GBP) Exchange Rates:

< Down   > Up

The Pound Sterling/US Dollar Exchange Rate is currently in the region of: 1.5480 <

The Pound Sterling/Euro Exchange Rate is currently in the region of: 1.1632 >

The Pound Sterling/Australian Dollar Exchange Rate is currently in the region of: 1.6908 >

The Pound Sterling/New Zealand Dollar Exchange Rate is currently in the region of: 1.9333 >

The US Dollar/Pound Sterling Exchange Rate is currently in the region of: 0.6462 >

The Euro/Pound Sterling Exchange Rate is currently in the region of: 0.8596 <

The Australian Dollar/Pound Sterling Exchange Rate is currently in the region of: 0.5919 <

The New Zealand Dollar/Pound Sterling Exchange Rate is currently in the region of: 0.5168 <

(As of 10:35 GMT)

Comments are closed.