Pound Recovers against Euro, Dollar, Yen
Today the Great Britain pound started to recover from the week-long losses against the other major currencies, such as the U.S. dollar, euro and the Japanese yen.
That’s quite a surprise for the Forex traders, because yesterday BoE reduced the official Bank Rate by 0.25% and the pound was falling down strongly, especially against dollar. The only currency which reversed against pound yesterday was euro (ECB held the rates at the same level, but hinted a further possible decline).
Perhaps, the expected rate cut by the Bank of England has been already included into the market rates and there was just a speculative rally against pound after the monetary policy release. If so, then today pound is trying to recover the loss that wasn’t based on fundamentals.
GBP/USD climbed up from 1.9427 to 1.9493 today, while GBP/JPY rose from 208.73 to 209.75 and EUR/GBP declined to 0.7433 from 0.7455.
Earlier News About the US Dollar:
- U.S. Fed Reserve Cuts Interest Rate 0.75 in Emergency (2008-01-22)
- Dollar Still Weak Against Yen (2008-01-17)
- GCC Countries May Revalue Currencies by End of 2008 (2008-01-16)
- Sudan Moves to Euro (2007-12-31)
- Dollar is Losing Positions - IMF (2007-12-30)