Foreign Exchange Daily Market Update 19/08/2016

Fri, August 19, 2016

Pound Surges After Retail Sales Rise

The Pound strengthened to a two-week high on an unexpected surge in U.K. retail sales in the month after the nation voted to exit the EU.

Retail sales unexpectedly rose by 1.4 % in July which was the best for that month since 2002. Inflation, unemployment claims, and now retail-sales figures, show a U.K. economy that’s exceeding expectations despite pre-referendum concerns that an EU exit would cause a slowdown.

Sterling has fallen more than 12% against the Dollar since the Brexit vote, and the first ripples of that through the economy were seen on Tuesday. While consumer-price growth nudged up to 0.6% from 0.5%, input costs increased to 4.3%, the most in three years, indicating stronger inflation building in the pipeline.

The Pound advanced 0.9% to 1.3161 against the Dollar as of 4:15 p.m., after touching the highest since Aug. 5. It rose 0.6% to 1.1614 against the Euro, having reached 1.1461 on Aug. 16, the weakest level in three years.

Data to look out for today.

Not Much Data Out Today

CURRENCY PAYMENTS MADE SIMPLE

PRESS RELEASE

KBRFX was mentioned in the Essex Chronicle for the top 100 companies by turnover in Essex http://www.essexchronicle.co.uk/100-Essex-businesses-revealed-annual-survey/story-25140555-detail/story.html

Data Releases