Daily Currency Update
The pound has remained steady at the start of the week with little top tier data from the UK, US or Eurozone to move the markets. The one headline catching release this morning was September's UK Public Sector Net Borrowing figure which came in at £16.6bn for the month. The figure was slightly better than forecast however still the third highest September on record and has garnered more attention than usual as we have the first budget of the new Labour government due a week tomorrow. Later today we have Bank of England Governor, Andrew Bailey speaking at the Bloomberg Global Regulatory Forum event in New York. As usual any commentary on future interest rate moves will likely move the pound. GBP/EUR hovers just above 1.20 with GBP/USD just above 1.30.
Key Movers
The dollar strengthened across the board yesterday likely benefitting from stock markets slipping at the start of the week. We are now also just two weeks away from the US Presidential Election with Donald Trump appearing to be making in-roads in Kamala Harris's slender lead. The narrowing of the polls will also likely explain the US dollar's gains yesterday, alongside the ongoing conflict in the Middle East. On the data-front, it's another quiet day, so a speech by the European Central Bank Chief, Christine Lagarde this evening in Washington DC, will be the main event to look out for. EUR/USD is around 1.0835 this morning.
Expected Ranges
- GBP/USD: 1.2940 - 1.3070 ▲
- GBP/EUR: 1.1960 - 1.2055 ▲
- GBP/AUD: 1.9400 - 1.9560 ▼
- EUR/USD: 1.0790 - 1.0900 ▼