Sterling gave back recent gains against the euro on Friday, losing 0.3% as risk aversion weighed heavily on the fragile UK currency.
- Sterling struggled in the morning as investor’s booked profits after the pound’s gains against the euro on Thursday, but trade was initially range bound ahead of US payrolls data.
- The pound also failed to gain traction after a Nationwide housing market survey showed prices were steady on the year in September, the first time since March that prices have not fallen on a year-on-year basis.
- In the afternoon, US payrolls data disappointed expectations, justifying the rise in risk aversion in the market and sending global equities spiralling further downward.
- Indeed, the FTSE 100 went back below the psychological 5000 level, which was particularly damaging for the pound
- In trading this morning the price has continued to climb in the single currency’s favour, though sterling may find support should UK services meet expectations and reveal a stronger month on month figure at 09:30BST.
Related posts:
- The euro made ground against the dollar on Friday, but has relinquished its gains this morning
- Euro lost ground vs the dollar following an easing in risk appetite
- The pound fell below $1.60 on Friday, and rising risk aversion has seen it tumble further this morning
- Sterling continued to slide vs the euro on the run up to the weekend, but has capped its losses this morning
- Pound advanced against a broadly weaker euro yesterday, but has stumbled in trading this morning
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