The sterling dips in the market as investors brace for the coming Bank of England meeting. The currency saw some extended dips as the market expects negative results from the up and coming interest rate meeting from the BoE.
The pound is facing a lot of demise in the market as bets favor the lackluster meeting results. According to reports, the Brexit continues to weigh the potential economic performance locally and will likely give another shrug on the coming interest rate hike meeting.
Furthermore, the current economic status locally is bringing analysts to the conclusion of a further interest rate hike. According to rumors, we can expect the interest rate hike to be applied somewhere around August this year.
To add, a lot of analysts are still stating that the pound is currently oversold in the market today. The Brexit talks also weigh the decision as it still carries a looming possibility to flunk.
The currency has been struggling in the market as the dollar continues to extend its bullish run. This is the first time that the greenback tallied strong report since the year started. The U.S. currency is looking to extend its prowess on the Federal Reserves’ hawkish tone.
Sterling’s Performance against Major Currencies
The sterling was seen shedding some percentages in the previous market session. The currency was trading on a low against the dollar of $1.3499 before easing to relative levels. The figures were the lowest that the pound had ever since January 11 of this year.
On the other hand, the sterling was pushing positive results against its neighboring currency the euro. The sterling took the lead with a total of 0.3% increase to 87.325 pence. The euro continues to be dragged by the dollar in the market.
Meanwhile, today’s market is showing a reversal trend as dollar prices drop. The greenback is experiencing some market turbulence, pushing the euro on a better place. The reports revealed that the euro continues to be a market favorite.
The dollar’s bullish run was cut today as analysts discuss the currency’s possible future. According to market reports, interests rate hikes and the local economic strength won’t able to sustain the greenback’s surge. The report noted that both the interest rate hike and the great economy would boost the dollar no longer than three months.
for your round-the-clock market update! We provide you with the latest news surrounding Forex, commodities, automobile, consumer, financial, economy, and technology. Never miss any news beat! Subscribe now!