The GBP/USD gained 29 points to trade at 1.4703 as the US dollar continued to decline. The pound climbed to its highest level since 2016 began against the
The GBP/USD gained 29 points to trade at 1.4703 as the US dollar continued to decline. The pound climbed to its highest level since 2016 began against the dollar in early trading Tuesday, putting sterling back in positive territory against the greenback for the year so far. The pound/dollar exchange rate rose above 1.476 for the first time since the first week of January, up 0.69%.
The Wall Street Journal printed that the pound could fall to as low as $1.20 in the event of a vote to leave the EU, according to Samuel Tombs, chief U.K. economist at Pantheon Macroeconomics.
“Overseas investors likely would give the U.K. a wide berth, at least until some clarity had been achieved on Britain’s new trade agreements with Europe and the shape of new regulations,” said Mr. Tombs in a research note emailed to clients.
Sterling rose half a per cent against a broadly weaker US dollar on Tuesday, hitting its highest since the start of January and extending its gains against the greenback into a fourth straight week. The pound has recovered steadily since reaching long-term lows around $1.38 in late February after the announcement of a June date for the Brexit referendum on European Union membership.
It has surged in the past two weeks as bookmakers’ odds shifted back against the “Out” camp in a vote seen by financial investors as a large risk to the British and European economies. (BusinessLine)
FxEmpire provides in-depth analysis for each asset we review. Fundamental analysis is provided in three components. We provide a detailed monthly analysis and forecast at the beginning of each month. Then we provide more up to the data analysis and information in our weekly reports, which covers the current week and are published by Sunday before the new week begins. Daily we share any new events, forecasts or analysis that affect the current day. To achieve a full accurate understanding it is important that you study all of our data and analysis as a whole.
Upcoming Economic Events that you should be monitoring:
Wednesday, May 4, 2016
Cur. | Event | Actual | Forecast | Previous | |||
Japan – Constitution Day | |||||||
AUD | Building Approvals (MoM) (Mar) | -3.0% | 3.1% | ||||
CNY | Caixin Manufacturing PMI (Apr) | 49.9 | 49.7 | ||||
AUD | Interest Rate Decision (May) | 2.00% | 2.00% | ||||
GBP | Manufacturing PMI (Apr) | 51.2 | 51.0 |
Government Bond Auctions
Date Time Country Auction
May 04 11:05 Norway Holds bond auction
May 04 11:30 Germany Eur 4bn Apr 2021 Bobl
May 04 11:30 UK Gbp 2.75bn 1.5% 2021 Gilt
May 04 11:50 France Holds bond auction
May 04 17:20 Sweden Details of bond auction on May 11
May 05 10:30 Spain Holds bond auction
May 05 11:00 Austria Holds bond auction
May 05 11:30 UK Gbp 2.5bn 1.5% 2026 Gilt
May 09 17:20 Italy Announces details of bond auction
May 09 N/A Ireland Details of bond auction on May 12
May 10 11:30 Germany Holds I/L bond auction
May 11 11:03 Sweden Holds bond auction
May 11 11:30 Germany Eur 5bn Jun 2018 Schatz
May 12 11:10 Italy Holds bond auction
May 12 17:20 Sweden Details of I/L auction on May 19
May 12 N/A Ireland Holds bond auction