Pound Sterling (GBP)
Demand for the Pound increased yesterday after the release of an influential ORB poll. The results showed that the ‘In’ camp has taken a significant lead, allowing the Pound to rebound against the majors.
Of the people involved in the phone-based poll, 52% would prefer to stay in the European Union with just 40% favouring a ‘Brexit’. However, once you factor in only the people who are certain to vote, the ‘Remain’ lead shrinks to just 1%.
The Pound Sterling to Euro (GBP/EUR) exchange rate was trending in the region of 1.2780
Euro (EUR)
GBP/EUR saw some gains yesterday, up from Monday’s three-week low, as the shift in sentiment towards staying in the European Union relit investors’ interest in the Pound.
The significant impact of EU referendum concerns continue to be highlighted. Even with Eurozone GDP figures printing overwhelmingly positive, the common currency failed to garner much support and demand remained week. The currency bloc’s quarterly GDP growth score sat at 0.6%, beating out the UK and being three times higher than the US’ growth score of0.2%.
The Euro to Pound Sterling (EUR/GBP) exchange rate was trending in the region of 0.7824
US Dollar (USD)
The latest EU referendum poll was felt across the pond also with the Pound to US Dollar rate rallying by just over a cent.
Now that it looks certain that the US Federal Reserve will hold off raising its rates in June after a disappointing non-farm payrolls report, all eyes are focused on the UK referendum. Bookmakers have given a ‘Brexit’ about a 30% chance of occurring but the polls suggest it to be much closer than that. ‘Cable’ will continue to waver as subsequent polling data will be released in the run up to the referendum.
The US Dollar to Pound Sterling (USD/GBP) exchange rate was trending in the region of 0.6880
Canadian Dollar (CAD)
A rise in oil prices to the highest we’ve seen in 2016 stemmed the Pound’s poll-induced rally against the ‘Loonie’ yesterday.
Canadian Dollar movement correlates heavily with fluctuations in oil prices, crude oil being Canada’s biggest export, so yesterday’s news that oil prices settled above $50 a barrel was very beneficial for the Canuck currency.
The Canadian Dollar to Pound Sterling (CAD/GBP) exchange rate was trending in the region of 0.5404
Australian Dollar (AUD)
The Pound to ‘Aussie’ exchange rate slumped over a cent to a new monthly low yesterday.
The decision by the Reserve Bank of Australia not to slash rates in June afforded a healthy boost to the Australian Dollar. The central bank remarked that the strength of AUD causes complications for inflation prospects but noted that the current level of monetary policy should be sufficient for sustainable growth.
The Australian Dollar to Pound Sterling (AUD/GBP) exchange rate was trending in the region of 0.5115
New Zealand Dollar (NZD)
GBP/NZD trended narrowly yesterday as traders shifted in-turn with the likelihood New Zealand’s central bank will hold rates steady this evening. A number of investors had eyed a rate cut from the Reserve Bank but the feeling was quashed after Australia’s central bank held rates steady.
The New Zealand Dollar to Pound Sterling (NZD/GBP) exchange rate was trending in the region of 0.4795
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