Currency Note Sterling

Will sterling budge for the Budget on Wednesday?

By Ricky Bean March 14th, 2016

A late surge for sterling saw the currency recover some lost ground against the euro on Friday, and finish the week at a fresh one-month high against the US dollar. Sterling investors can pause to draw breath at the start to the week, with no major economic data set to be released from the UK until Wednesday.

Labour data is set to be released on Wednesday and, with unemployment remaining steady at an eight-year low of 5.1%, it is average earnings data that will provide the main focus. Later in the day, investors will turn their attention to Chancellor George Osborne, who will announce the Government’s annual budget, and possible offer some further insight into the Government’s views on Brexit.

There will be no rest on Thursday, with the release of the Bank of England (BoE)’s latest interest rate decision, and the minutes from this meeting. This will reveal both the voting pattern of monetary policy committee members, and their thoughts on the direction that future monetary policy should be taking. As such, we could see significant sterling movement in the wake of this release.

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