- GBP/USD in green on hopes of last-minute Brexit deal.
- Vaccine and stimulus hopes undermine USD.
- Market participants ignore UK macro.
UK monthly unemployment claims rose to 64.3K in November; the setback was mostly offset by the unemployment rates at 4.9 Percent beating 5.1 Percent expected, from 4.8 Percent earlier.
The UK macro numbers did not influence the GBP/USD as the pair continued to hold on to its slight gains, trading near day’s high, around mid-1.3300s. GBP/USD had pulled back around 140 pips yesterday but traded in the green today as the hopes of a last-minute Brexit deal kept the bullish mood intact.
Brexit-deal hopes revived after – the UK and EU decided to extend the talks beyond the Sunday deadline; and, the statement from the EU’s chief Brexit negotiator, Michel Barnier on Monday that a deal could be reached if a solution to the fishing issue emerges.
The US dollar trades around two-and-half-year lows as the vaccine-related exuberance cut the greenback’s safe-haven appeal. The revived hopes surrounding the US fiscal stimulus also pulled down the currency. The weakness in the USD assisted GBP/USD in the intraday up-move.
The GBP bulls are restricted in their aggressiveness by the lockdown restrictions in London and the discovery of a new coronavirus-variant.
At the time of writing, one British Pound buys 1.3300 US dollars, down -0.10% as of 9:21 AM UTC.
Currencylive.com is a news site only and not a currency trading platform. Currencylive.com is a site operated by Wise US Inc ("We", "Us"), a Delaware Corporation. We do not guarantee that the website will operate in an uninterrupted or error-free manner or is free of viruses or other harmful components. The content on our site is provided for general information only and is not intended as an exhaustive treatment of its subject. We expressly disclaim any contractual or fiduciary relationship with you on the basis of the content of our site, any you may not rely thereon for any purpose. You should consult with qualified professionals or specialists before taking, or refraining from, any action on the basis of the content on our site. Although we make reasonable efforts to update the information on our site, we make no representations, warranties or guarantees, whether express or implied, that the content on our site is accurate, complete or up to date, and DISCLAIM ANY IMPLIED WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE. Some of the content posted on this site has been commissioned by Us, but is the work of independent contractors. These contractors are not employees, workers, agents or partners of Wise and they do not hold themselves out as one. The information and content posted by these independent contractors have not been verified or approved by Us. The views expressed by these independent contractors on currencylive.com do not represent our views.