Pound Sterling Price News and Forecast: GBP losses steady around 1.30
|Pound Sterling weakens despite UK seems in better position after Liberation Day
The Pound Sterling (GBP) underperforms its major peers, except antipodeans, on Friday. The British currency faces pressure as investors expect the United Kingdom (UK) economy to face significant pressure from potential global economic risks even though the country is in a better position among trading partners of the US after the so-called “Liberation Day”, which was April 2. No country can work in isolation as globalization has provided a platform to all nations to explore new markets for their products. Read more...
GBP losses steady around 1.30 – Scotiabank
Pound Sterling (GBP) is weak, down a meaningful 0.8% vs. the USD while still trading relatively well vs. most of the riskier G10 currencies, Scotiabank's Chief FX Strategist Shaun Osborne notes.
"Broader developments are likely to continue driving movement in GBP, and the near-term outlook for reconciliation on trade appears to be slim as media reports suggest that the US’s 10% tariff rate on UK goods may be a permanent baseline." Read more...
GBP: Liquidity issues & BoE repricing at play – ING
Over recent months, EUR/GBP has tended to sell off on tariff-related headlines, given that the eurozone is far more exposed to US trade than the UK. Yet EUR/GBP surprised yesterday and spiked higher, ING's FX analyst Chris Turner notes.
"Two factors are at play, we think. The first is that the euro has better liquidity than sterling and will benefit more as investors leave the dollar. The second is that the looming global trade war is proving the greater leveller for rate spreads." Read more...
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