On Tuesday, the Pound climbed during the early part of trading following news that more jobs were available and that employment had reached pre-pandemic levels.
However, as the afternoon arrived, those gains had been lost following new Brexit concerns after a delay to checks on EU imports. This resulted in fears that UK exporters are unable to compete as a result of red tape and additional costs. This saw the currency end up at 1.1698 against the Euro and 1.3806 against the US Dollar according to the Foreign Exchange Market.
The early session yesterday proved challenging for the Euro with incoming inflation figures from the US leaving investors holding on any decisions they made. However, the single currency made a recovery after the US CPI failed to meet forecasts.
It was a mixed session for the US Dollar yesterday as it increased prior to the release of US inflation data. However, once the data had been released, it slumped before recovering those losses. Core US inflation eased more than expected, dropping to 4% from 4.3% year-on-year and this didn’t impress investors although a risk-off mood did help to give the Greenback a boost.