British Pound
With a GBP 4 billion auction of 10 Year Gilts today, markets are watching carefully as higher long term rates put pressure on the UK Chancellor and GBP bounces around between USD 1.21 and 1.22. After 6 consecutive trading sessions with GBP weaker and a low of 1.2097 which has taken its toll, the only bright spot yesterday afternoon was when a Goldman Sachs’s analyst broke cover to state that he saw GBP recovering from these levels although there seems precious little to support that argument at present from an economic perspective.
GBP/USD 1.2170.
UK Sky Poll
With Labour on 26%, Conservatives on 22%, Lib Dems on 15% and Greens on 8%, a not entirely unsurprising picture of dissatisfaction with the Government has emerged but what is much more striking is that Reform is only one point behind Labour at 25%. That plus the Conservatives being unable to land any punches on an accident prone Government as HM official Opposition and after being forced into third place it suggests that both the Labour and the Conservative parties need to do some soul searching.
EUR/USD 1.0254.