Confidence in the Pound was fairly sluggish through trading on Thursday as the currency was still being pushed down by the fact that a Brexit trade deal is looking unlikely. However, there was some hope after the latest construction PMI indicated that there was a slight improvement after a dismal April. As a result, the Foreign Exchange rate against the Euro dropped to 1.1113 while it did improve against the US dollar finishing the day at 1.2599.
It was a good day for the Euro and investors looking to make international payments as the Pandemic Emergency Programme was expanded by the European Central Bank. The scheme was increased by €600bn which was more than expected. Despite this good news, the Euro might end the day on the back foot after Germany reported a significant drop in factory orders.
As tensions between the US and China eased slightly, the US Dollar made a good start as demand for the currency increased. However, the latter part of the session saw these gains disappear after job losses increased at a faster rate than expected, while the release of the US payroll figures are going to have an impact on its performance today.