Currency Note Sterling

Good week for sterling

By Smart Currency April 22nd, 2016

Despite disappointing UK economic data released this week it has been a largely positive week which has seen sterling gain ground across the board as fears over an exit from the European Union reduced albeit slightly.

No significant economic data was released on Monday, but sterling rebounded strongly from the recent two-year lows against the euro. Despite the Bank of England (BoE) Governor Carney warning that the BoE could cut interest rates further if required by economic conditions, the British currency continued to push higher across the board on Tuesday. Wednesday saw the release of disappointing labour data from the UK, with average earnings of 1.8% missing the forecast level of 2.0% growth.

Even though UK retail sales data for March released yesterday disappointed, sterling continued to push higher hitting fresh three week highs against both the euro and US dollar before testimony from European Central Bank (ECB) President Draghi saw sterling fall away from these highs throughout the afternoon.

A quiet day lies ahead for sterling, with investors looking towards Europe for the release of industry growth data from across the Eurozone.

If you are looking to buy or sell sterling, we suggest contacting your trader now for live rates, news and currency-purchasing strategies.