US Inflation Holds and Pound to US Dollar Remains High

The Pound saw some decent gains on Wednesday in particular, reaching a 33-month high against the US Dollar.

currency-news

Exchange rates are still receiving considerable support from the success of the vaccination programme while the latest policy decision from the Bank of England surrounding negative rates has also helped to bolster the currency. The GDP release on Friday will determine the direction of the Pound although at the end of trading yesterday the Foreign Exchange Market indicated that the pound finished at 1.1413 against the Euro and 1.3831 against the US Dollar.

It was another positive day for the Euro as it still took advantage of the negative correlation with the US Dollar. Despite this, the gains were held back after the national lockdown in German is to be extended until 14th March. However, a lack of vaccine progress might weigh heavily on the single currency.

The latest US consumer price index caused the US Dollar to fall back yesterday with inflation held at 1.4% in January, falling lower than expectations. As a result, risk sentiment increased, causing demand for the Greenback to drop. The US initial jobless claims data will be released today and that could support the currency if the figures drop again.

NewbridgeFX:
Products

NewbridgeFX offers a specialist service in the deliverable foreign exchange market, promoting a range of products and services, available online or over the phone. Our products have been designed to meet the needs of our clients. A lot of these products are ways for businesses, and individuals, to manage and mitigate currency risk, and are used frequently during times of increased volatility. Alongside up to date foreign exchange related market news, which works in tandem with our range of products. 

Spot Contract

Lock in an exchange rate for immediate onward settlement. Funds can be received the same day.

Forward Contract

Lock in an exchange rate today, but for settlement at a later date that suits you, up to 12 months in the future.

Market Order

We monitor the markets real time and take action to trade between currencies when your desired rate is achieved.

Rate Alerts

Set an alert for phone or email notification when an exchange rate has be achieved to take advantage at the best time.

NewbridgeFX