UK Recovery Comes With Downside Risks That Holds The Pound Back

The Pound to US Dollar rate held firm through trading on Thursday at 1.2938 while the currency finished the day at 1.0998 against the Euro according to the Foreign Exchange Market. However, the Pound did trend lower after comments from the Bank of England suggested that the recovery in the UK is not moving in the right direction. Once again, Brexit concerns also held the currency back although the latest monthly GDP release could help the pound to recover through trading today.

The Euro did not fare well yesterday after the latest European Central Bank policy meeting indicated that the lack of inflationary pressure was a cause for concern. As a result, it looks as though some form of stimulus might be required. Without a lot of data being released today, investors will now place a focus on the coronavirus rates across the Eurozone which could cause the single currency to weaken.

The US Dollar did not move too much through trading after the recent US jobless claims came in higher than expected. It increased by 840,000 last week, causing concerns for investors. Along with this, it is likely that the US Dollar is going to experience some pressure as a result of US election uncertainty.

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