As expected last week, sterling has strengthened though mostly on the back of weaker fundamentals elsewhere in the world. The weaker-than-expected US jobs report helped $GBPUSD surge above 1.5250 resistance that had capped rallies since February. The weak Canadian jobs report also sent $GBPCAD to new highs at 1.5650 also not visited since February. The $GBPAUD reached new highs at 1.4825 on the back of a still dovish RBA. The only sterling pair that hasn’t found GBP strength is the $EURGBP as the EUR finds a Cyprus bottom for reasons outlined well in the linkfest below. It’s a light calendar this week with all eyes on Wednesday’s FOMC minutes release.
- Week Of Major Currency Shifts Flips Me Bullish Australian And British Currencies (Seeking Alpha)
- Can Sterling Really Rally? (FaithMightFX)
- What’s On The Cards For GBP/USD This Week? (eFXnews)
- If Britain is ‘broke’, it has been for most of the last 300 years (The Guardian)
- Morgan Stanley Has A limit Order To Buy $10 Million EUR/GBP At 0.8450 Targeting 0.8900 (eFXnews)
- The European Noise Festival (Phil Pearlman)
- UK services grow strongly in March, recession likely avoided – PMI (Reuters)
- More Evidence of Sterling Strength (FaithMightFX)