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UK pound and Turkish lira are pressured, greenback stands still
On Monday, the UK currency and the Turkish lira were suppressed in the foreign exchange market, while the evergreen buck was intact versus a group of its primary counterparts in holiday-thinned trade.
The UK currency slumped to the lowest value of the day after data disclosing that British manufacturing activity went down to its lowest value for two years in August, suppressed by worries over Brexit as well as the US-China trade conflict.
The currency pair GBP/USD slumped by 0.77% being worth 1.2857. It dived from an intra-day maximum of 1.2933.
The UK currency managed to extend early losses following a report disclosing that British manufacturing index headed south to a 25-month minimum of 52.8 in August in contrast with July’s outcome of 53.8.
The UK currency had already been pressured after the EU’s chief Brexit negotiator Michel Barnier told that he strongly dislikes UK Prime Minister Theresa May’s recent proposal on future trade after Brexit.
The remarks contributed to worries as for the prospect of a no-deal Brexit.
The UK currency slumped versus the common currency. The currency pair EUR/GBP rallied by 0.85% being worth by 0.9028.
In addition to this, the Turkish lira proceeded with its dive in the face of ongoing fears over the country’s economic as well as currency downtime.
Monday’s data disclosed that in August Turkish inflation rallied to a 15-year maximum of 17.9% from July’s outcome of 15.9%, showing that the steep selloff in Turkey’s currency is powering consumer prices.
Estimating the greenback’s purchasing power versus a bunch of its main rivals , the USD index kept to one-week maximum of 95.10 because fears over global trade clashes backed safe haven demand for the evergreen buck.
The currency pair EUR/USD hit 1.1608, while USD/JPY demonstrated 111.13.
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