There was a lack of direction for the Pound on Wednesday after the currency suffered from Brexit concerns and coronavirus worries. Much of the anticipation however, was around the rate decision that was to be announced by the Bank of England and the release of that news saw the currency take off. The Bank of England left policy unaltered and that proved positive for the pound. At the end of trading on Wednesday, the currency finished at 1.1055 against the Euro and 1.3126 against the US Dollar according to the Foreign Exchange market.
It was a day of good trading for the Euro as investors were encouraged by the latest economic releases from the EU. In June, annualised retail sales grew while the final services PMI were also robust, helping the Euro find some momentum.
The US Dollar took a big hit through trading yesterday after the ADP employment report failed to impress. Employment was expected to rise by 1,500,000 during July but the figures stood at just 167,000, leaving the hopes of investors slightly dented. The US service sector grew more than expected during July although that still left job figures disappointingly low.