The Cable failed to break its slow decline as it once again edged lower throughout Monday. With little on the macro-economic front to drive direction on Monday, the Pair was traded aggressively throughout the day to ultimately end lower than its open, reaching its lowest point for the year at 1.3390. Benefitting from a softening of the bullish USD however, the Sterling did post a shallow bounce during the American session, opening this morning at 1.3429.
Moving forward throughout the week, the Pound looks to the start of a fresh round of Brexit negotiations. With no solution to the Ireland border issue in sight, the Pound could continue to suffer the consequences of protracted negotiations. Domestically, the Bank of England turns its focus to their Inflation report later today and their CPI reading on Wednesday. Traders will take particular interest when taken in the context of a possible August rate hike.