Currency Note Sterling

Will UK data drive sterling upwards?

By Ricky Bean May 19th, 2014

Friday was largely positive for sterling, despite a lack of data to drive such movements. The British currency made gains against the US dollar and the euro, as both weakened in opposition.

Following a week in which there was little data released from the UK, the week ahead promises to be busier. Inflation data for April is released on Tuesday, and is expected to show an increase for the first time since October 2013. The main reason for this increase seems to be the result of us having a late Easter in April. The release of the minutes of the last Bank of England (BoE) meeting on Wednesday could well be something of a non-event, with recent comments from BoE Governor Mark Carney dampening any speculation over an imminent rate rise. Also on Wednesday we have the release of retail sales data on Wednesday which are expected to show continued improvement. The final economic data release from the UK is a second estimate of growth throughout the previous quarter – this is likely to have a muted impact on the markets.

Looking to buy or sell sterling? Contact your trader now for live rates, news and currency-purchasing strategies.