A difficult day for sterling saw it slip against the majority of its trade partners, ending the day largely flat in relation to the US dollar. After reaching a weekly high against the US dollar on Tuesday in the wake of the latest EU Referendum opinion polls, sterling saw a relatively quiet day of trading on Wednesday.
Manufacturing production data for May exceeded expectations and grew 2.3% in comparison to April’s results. While this positive economic data did boost sterling initially, the results were short-lived, as continuing uncertainty over the June 23rd EU referendum continued to dominate market sentiment and dragged the UK currency back down again.
No significant economic data is planned for release from the UK today, with Unemployment Claims data from the UK likely to provide the main talking point.
Sterling is experiencing continued uncertainty in the weeks preceding the EU Referendum. Now’s the time to create a contingency plan and currency strategy with your trader for either potential outcome of the vote.