Optimism boosts the Pound

Optimism boosts the Pound

A relatively hawkish Bank of England, solid PMI business surveys and the news that Theresa May was ready to make concessions to Labor in order to reach a Brexit agreement all push Sterling to the top of the rankings among major currencies. It managed to retain its gains even after the Sunday Trump comments hit the wires, but it faces a key test Friday when first-quarter GDP data are released. The recent streak of positive surprises makes a strong number likely, which should support the pound's rally.

GBP/PLN (29/04/19 - 07/05/19)

Source: Bloomberg Date: 07/05/19

Author: Enrique Diaz-Alvarez, Chief Risk Officer at Ebury