Sterling Range-Bound Despite Upbeat UK Retail Sales and PMI Data

The  Sterling pound today traded sideways against the  US dollar despite the  release of  multiple positive macro prints from the  UK docket in  the  London session. The  GBP/USD currency pair traded in  a  tight range as  investors worried about the  prospect of  a  no-deal Brexit and  the  high chance of  the  second wave of  coronavirus infections.
The  GBP/USD currency pair today traded between a  high of  1.2772 and  a  low of  1.2717 and  was within the  upper portion of  this 55 pip range at  the  time of  writing.
The  currency pair today oscillated between gains and  losses as  investor sentiment towards it remained decidedly bearish. The  release of  the  upbeat UK retail sales data for  June had a  brief positive impact on  the  pair. According to  the  UK’s Office for  National Statistics, headline retail sales fell 1.6% versus the  expected 6.4% contraction, while core retail sales expanded 13.5%, beating analysts estimates of  7.5%. The  upbeat Markit/CIPS flash UK manufacturing PMI for  July, which came in  at  53.6 versus consensus estimates of  52, and  the  flash UK Services PMI, which was 56.6 versus the  expected 51.1, had a  minimal impact on  the  pound.
Comments by  the  UK Prime Minister Boris Johnson regarding the  rising coronavirus infections also weighed on  the  cable. Johnson said that the  government was relying on  the  good sense of  the  British people to  curb a  possible spike in  infections during the  winter months.
The  currency pair’s future performance is likely to  be affected by  US dollar dynamics and  geopolitical events.
The  GBP/USD currency pair was trading at  1.2758 as  at  12:21 GMT, having rallied from a  low of  1.2717. The  GBP/JPY currency pair was trading at  135.59 having fallen from a  high of  136.04.
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