UK pound keeps to 20-month minimum on Brexit setback

UK pound keeps to 20-month minimum on Brexit setback

On Tuesday, the UK pound kept to a 20-month minimum versus the evergreen buck because UK Prime Minister Theresa May delayed a decisive vote on her Brexit agreement, thus increasing the risk of a chaotic departure from the European bloc.

On Monday, Theresa May had a parliamentary vote postponed. The vote was due to occur on Tuesday, on her Brexit agreement to look for more concessions. Eventually, the given move generated more uncertainty due to the fact that the United Kingdom currently faces Brexit without a clear agreement, a last-minute pact or another EU referendum.

As a result, the UK pound managed to surge by up to 0.1% hitting $1.2574 having dived by 1.3% yesterday, when the UK pound tumbled to $1.2507, which is its lowest outcome since April last year.

The UK pound's dive appeared to be a boon for the evergreen buck that rebounded from a 2-1/2-week minimum versus a group of currencies initially powered by a soaring view that the Fed could suspend its rate lift cycle sooner than previously expected.

Measuring the purchasing potential of the evergreen buck against its primary counterparts the USD index dipped to 97.092 having surged by 0.75% on Monday.

In addition to this, this week the 10-year Treasury note yield has sunk to a three-month minimum, with quite dovish remarks from Fed officials as well as soft American data further backing views on an inevitable pause in the tightening cycle.

The common currency tacked on to $1.1365 having decreased by 0.2% on Monday.

The euro surged versus the struggling UK currency, although worries over outrageous protests in France against President Emmanuel Macron's economic policy limited its profits.

The evergreen buck went down by 0.25% reaching 113.02 yen having surged by 0.5% overnight.

Similar

GBP: more stimulus

The Bank of England increased the bong-buying program - the GBP rose. What next?

Latest news

Stocks up, USD down
Stocks up, USD down

S&P 500 skyrocketed to the all-time high on optimism that Biden’s fiscal stimulus will support economic growth and boost corporate earnings.

ECB report is in focus
ECB report is in focus

The European Central Bank will publish the monetary policy statement with the interest rate decision on January 21, at 14:45 MT time. 

Deposit with your local payment systems

Learn more

Data collection notice

FBS maintains a record of your data to run this website. By pressing the “Accept” button, you agree to our Privacy policy.

Callback

Manager will call your number

Correct number

Your request is accepted

Manager will call your number

Next callback request for this phone number
will be available in {time}

If you have an urgent issue please contact us via
Live chat

Internal error. Please try again later

Don’t waste your time – keep track of how NFP affects the US dollar and profit!

Beginner Forex book

Beginner Forex book will guide you through the world of trading.

Beginner Forex book

The most important things to start trading
Enter your e-mail, and we will send you a free Beginner Forex book

Thank you!

We've emailed a special link to your e-mail.
Click the link to confirm your address and get Beginner Forex book for free.

You are using an older version of your browser.

Update it to the latest version or try another one for a safer, more comfortable and productive trading experience.

Safari Chrome Firefox Opera