The Great Britain pound fell against the dollar as US employment growth exceeded expectations. The currency erased losses versus the Japanese yen and trimmed its drop against the euro as the UK trade balance deficit narrowed.
US non-farm payrolls grew by 175,000 jobs in May, beating the analysts’ forecast of 167,000. The data suggested that the Federal Reserve may indeed reduce its monetary stimulus. Such outlook bolstered the dollar against the sterling.
The positive domestic data supported the pound against other currencies. The trade gap shrank from £8.8 billion in March to £8.2 billion in April, more than was expected.
GBP/USD fell from 1.5595 to close at 1.5553 and its daily low was at 1.5486. GBP/JPY ended the trading session at 151.52, paring the drop from 151.22 to 148.14 (the weakest price since April 17). EUR/GBP went up from 0.8488 to 0.8496, retreating from the intraday maximum of 0.8525.
If you have any questions, comments or opinions regarding the Great Britain Pound,
feel free to post them using the commentary form below.
Be First to Comment