Risk Appetite Sees a Response from US Dollar as Pound Fluctuates

As last Friday came to a close, the UK came to terms with the news that UK government borrowing hit an all-time high. This has left the economy in a bad way but the Pound was able to keep hold of some positive gains. Investors are hopeful that the increase in debt is going to help the economy and get international payments back on track. However, the currency finished the week off at 1.1161 against the Euro and 1.216 against the US Dollar according to the Foreign Exchange market.

currency news

Following the release of the European Central Bank’s meeting minutes, it did not look good for the Euro as they indicated that further stimulus might be required in June. This meant that support for the single currency disappeared. Despite the bad news, there was some fresh hope on Monday as the German IFO business climate index had made some slight improvements.

The US Dollar became slightly stronger as the week came to an end as market risk appetite diminished. There is still a lot of uncertainty surrounding the global economy and so, many investors decided to put their trust in the safe-haven currency once again. However, risk appetite returned during Monday and that meant that investors were looking elsewhere again.


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.