Economic news

Sterling gains but traders say it won't last for long

On Thursday Sterling was higher supported by optimistic retail deals and news that Britain's opposition Labor Party had started its try to bring down PM Boris Johnson with a non-confidence vote.

poundPhoto: Flickr

Higher July inflation, presented on Wednesday, also added to the traders' positive thinking.

Market players have also been cutting their estimates for further sterling squeeze, based on rates in the subordinates market.

Notwithstanding, experts state it is impossible that pound will additionally gain given the developing threat of Britain dashing out of the EU without a trading agreement in October.

Retail deals edged higher by 0.2 percent monthly in July, a slight gain than in June, when they ascended by 0.9 percent. The monthly gain in June was overhauled down from 1 percent. Annual deals edged higher by 3.3 percent in comparison with a 3.8 percent growth in the earlier month.

The pound was last higher by 0.4 percent at $1.2107, having tapped quickly a one-week peak of $1.2113 prior, yet stays near the 31-month bottom of $1.2015 it came to on Monday. Versus the common currency, the sterling was higher by 0.2 percent at 92.14 pence, recovering from the 10-year bottom of 93.26 pence it dove to on Monday.

Johnson has vowed to withdraw Britain from the EU by Halloween, with or without a deal, laying the right foundation for a standoff in parliament where lawmakers are against a withdrawal without a divorce deal.

To leave a comment you must or Join us

  • avatar-1186
    • #

    Bojo will just annoy everyone with his glitter fantasies and achieve nothing. If they brought back spitting image they wouldn't need to make a puppet of him, he already fits.

More news

Back to economic news list

By visiting our website and services, you agree to the conditions of use of cookies. Learn more
I agree