Pound is recovering from political drama

 

 

 

The pound sterling recovered from yesterday’s losses against the US dollar and recovered from the 6-month trough, as the foreign exchange market stabilized after the Italian political drama. Now there is a hope that new elections could be avoided, but FX traders are still cautious. Against the euro, the pound continued to struggle, analysts say, thanks to the rejection of the euro, received from optimistic polls. Industrial confidence, the business climate and the economic sentiment indicator showed that in May the Eurozone was better than the expected results, which also improved before the April readings.

As reported at 11:34 (London), GBP / USD was trading at $ 1.3266, the profit was 0.06%; the pair ranged from the session trough from $ 1.3242 to the peak of $ 1.3294. EUR / GBP is trading at 0.87594 pence, an increase of 0.5557%; earlier the pair reached a peak of 0.87600 pence, and the low level for the session was 0.86983 pence.

UK data for sterling drive

In the UK, some upcoming data can help investors better assess the economy. Later today, the GfK Consumer Confidence survey for May will be released with economists predicting a slight improvement. On Thursday, data on housing prices, consumer credit and mortgages will be published. Then on Friday, markets will turn to Markit PMI Manufacturing, with economists demanding a small decrease to 53.6 in May from 53.9; for reference, 50.0 is the threshold that separates the shrinking sector from the expanding one.