Uncertainty in Europe continues
Sterling is trading up nearly a quarter of a percent against the euro today while remaining lower against the USD. Expectations for further QE in the UK are continuing to undermine the pound and this is likely to remain the central theme going in to July and the next BoE announcement. I feel it’s a case of the “unknown” at the moment with investors wary of putting funds into the pound until QE actually takes place or in the unlikely event the BoE announce the end of QE. Policy member Miles commented over the weekend that a “substantial” amount of liquidity would be needed to reignite the UK economy.
The Euro is trading lower against the pound and USD this morning as debt concerns continue to plague the single currency with European leaders set to meet again to discuss the ongoing crisis. The Euro