020 7898 0500The US dollar fell against sterling on Tuesday, thanks to US retail sales data coming out lower than expected. This weakness continued yesterday, but this time was as a result of sterling strength – thanks to Bank of England (BoE) Governor, Mark Carney, announcing that the first interest rate rise since the financial crisis ‘is moving closer’. As traders speculated that rates could rise from 0.5% to 0.75% within the next year, sterling spiked further upwards, pushing the US dollar to a new low.
There was some resurgence for the dollar however, thanks to positive inflation figures – enabling the dollar to regain some of these losses.
