AGL 5.60 Decreased By ▼ -0.18 (-3.11%)
ANL 8.85 Decreased By ▼ -0.03 (-0.34%)
AVN 76.74 Decreased By ▼ -2.18 (-2.76%)
BOP 5.24 Decreased By ▼ -0.04 (-0.76%)
CNERGY 4.63 Decreased By ▼ -0.07 (-1.49%)
EFERT 81.25 Decreased By ▼ -0.35 (-0.43%)
EPCL 50.00 Decreased By ▼ -0.91 (-1.79%)
FCCL 13.05 Decreased By ▼ -0.33 (-2.47%)
FFL 5.68 Decreased By ▼ -0.04 (-0.7%)
FLYNG 7.15 No Change ▼ 0.00 (0%)
FNEL 4.80 Decreased By ▼ -0.02 (-0.41%)
GGGL 8.79 Decreased By ▼ -0.11 (-1.24%)
GGL 14.55 Decreased By ▼ -1.33 (-8.38%)
HUMNL 5.70 Decreased By ▼ -0.07 (-1.21%)
KEL 2.61 Decreased By ▼ -0.05 (-1.88%)
LOTCHEM 28.58 Decreased By ▼ -0.47 (-1.62%)
MLCF 24.50 Decreased By ▼ -0.60 (-2.39%)
OGDC 72.07 Decreased By ▼ -0.38 (-0.52%)
PAEL 15.06 Decreased By ▼ -0.29 (-1.89%)
PIBTL 4.99 Decreased By ▼ -0.06 (-1.19%)
PRL 16.00 Decreased By ▼ -0.29 (-1.78%)
SILK 1.07 Decreased By ▼ -0.02 (-1.83%)
TELE 9.22 Decreased By ▼ -0.15 (-1.6%)
TPL 7.15 Decreased By ▼ -0.18 (-2.46%)
TPLP 18.46 Decreased By ▼ -0.49 (-2.59%)
TREET 21.61 Decreased By ▼ -0.39 (-1.77%)
TRG 134.00 Decreased By ▼ -7.15 (-5.07%)
UNITY 16.75 Decreased By ▼ -0.27 (-1.59%)
WAVES 9.84 Decreased By ▼ -0.06 (-0.61%)
WTL 1.39 Decreased By ▼ -0.02 (-1.42%)
BR100 4,211 Decreased By -43.7 (-1.03%)
BR30 15,387 Decreased By -345.6 (-2.2%)
KSE100 42,099 Decreased By -294.9 (-0.7%)
KSE30 15,566 Decreased By -98.1 (-0.63%)
Follow us

LONDON: Sterling fell on Wednesday versus a strengthening dollar as a risk-off mood dominated ahead of the publication of the minutes of the most recent US Federal Reserve meeting. After hitting a one-week high against the greenback and a 12-day high against the euro on Tuesday, sterling fell below $1.38.

It was 0.1% lower versus the dollar at $1.3784 by 1550 GMT, after rising on Tuesday to its highest since June 28 at $1.3898.

Versus the euro, it was flat at 85.63 pence, after jumping to a high of 85.36 pence in the previous session. “Markets are currently positioning themselves ahead of tonight’s pivotal FOMC minutes release, which has so far broadly translated to a bout of broader USD strength,” said Ima Sammani, FX Market Analyst at Monex Europe.

Markets are looking for cues around a timing for rate lift-off or stimulus tapering, she added. US bond yields fell below a key level as investors sought safety in bonds, and stocks steadied ahead of the readout on US monetary policies later in the day.

“The retreat in risk sentiment ... has also weighed upon sterling. The pound is usually pressured during risk-off episodes,” said Jeremy Stretch, Head of G10 FX Strategy at CIBC Capital.

Sterling had found support this week on British Prime Minister Boris Johnson’s plans to end social and economic Covid-19 restrictions in England. But investors remain cautious as the government also warned that the number of coronavirus cases could climb as measures are relaxed.

Sterling has been among the top performing G10 currencies this year following Britain’s quick vaccination rollout.

Those gains have evaporated in recent weeks as other countries implemented successful vaccination programmes and as the Federal Reserve hinted at an earlier-than=expected end to easy monetary policy, giving the dollar a boost.

Another reason for the recent leg lower in the pound was a warning by Bank of England governor Andrew Bailey against an overreaction to inflation in Britain.

Comments

Comments are closed.

Sterling falls against dollar

Intra-day update: rupee maintains positive momentum against US dollar

US brands South Asian Al-Qaeda, TTP militants as global terrorists

Imran Khan says Senator Azam Swati treated in 'vengeful manner'

Deemed income on capital assets: Taxpayers required to file new form separately

Oil prices mixed on easing COVID curbs in China, firm dollar

OMCs take a hit as petroleum sales drop in Pakistan

Pakistan crawl to 108 without loss, chasing massive England score

Jul-Nov trade deficit shrinks 30.14pc to $14.406bn YoY

PRL barred from shutting down this month

UN launches record $51.5bn funding appeal