GBP/INR continues the bullish stance on Friday, though the pace of increase has slowed down. Currently, one British pound buys 94.787 Indian rupees, up 0.07% as of 6:35 AM UTC. This is the fifth straight bullish session, as the pair hasn’t experienced any bearish day this week.
Markets are currently focusing on coronavirus anxiety as the US reported a record daily increase in the number of COVID cases. Meanwhile, Florida and Texas saw record increases in related deaths. Investors are worried about renewed lockdown that could compromise the global economic recovery. This doesn’t bode well especially for India, whose economy was struggling even before the pandemic started.
India itself updated the record in coronavirus cases again on Thursday, when it reported 25,790 cases.
UK’s Lockdown Relaxation Continues
Elsewhere, the UK continues to relax the lockdown measures. UK culture minister Oliver Dowden said yesterday that theatres in England would be allowed to host outdoor performances starting from this weekend. Also, beauticians will reopen next week. Indoor gyms and swimming pools will also be able to restart activities at the end of July. Gyms will have to apply time-booking systems to cap numbers, limit class sizes, and increase cleaning regimes. Dowden said:
“At the beginning we all stayed at home to protect the (National Health Service) and save lives. Now the British public has a new part to play – it’s time to eat out to help out, to enjoy the arts to help out and to work out to help out.”
The sterling is still under pressure amid post-Brexit uncertainty and fears of a second wave of pandemic. Investors mostly ignored finance minister Rishi Sunak’s next moves of the COVID recovery plan.
Earlier today, the British Retail Consortium (BRC) said that shoppers were more active on high street last month after the lockdown eased, but the figure were still lower compared to last year. BRC chief executive Helen Dickinson commented:
“(The) UK recovery has been sluggish, especially compared with European standards, but retailers with stores remain hopeful that the reopening of hospitality will provide a welcome boost.”