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18 Jun 2013
Flash: GBP/USD looks to have topped out past 1.5700 – Investec
FXstreet.com (New York) - The GBP/USD remains north of 1.56 today as attractive rates for importers hold above this level for the for the first time since February.
Despite most of 2013 feeling like gloomy times for dollar buyers, when we dig a bit deeper we can see that the 12 month average is 1.5695 so the recent move is an interesting return to a key pivot point, albeit unforeseen by many forecasters.
According to Lee McDarby, Corporate Treasury at Investec, “Rates do not look too comfortable when we see spikes into the 1.57’s which might be a sign that we are reaching the top of the tree around here after what has been a sharp and swift move higher.” GBP/EUR continues to be stuck in the mud in the 1.17’s right now and since March the pair has traded pretty frustratingly between 1.1650 and the high 1.18’s. The tug-of-war between dollar strength and weakness seems to have faded any interest in GBP/EUR into the background and it looks like it will take either drastic action from the incoming Mark Carney or an implosion in another EU Member State to catalyze some action.
Despite most of 2013 feeling like gloomy times for dollar buyers, when we dig a bit deeper we can see that the 12 month average is 1.5695 so the recent move is an interesting return to a key pivot point, albeit unforeseen by many forecasters.
According to Lee McDarby, Corporate Treasury at Investec, “Rates do not look too comfortable when we see spikes into the 1.57’s which might be a sign that we are reaching the top of the tree around here after what has been a sharp and swift move higher.” GBP/EUR continues to be stuck in the mud in the 1.17’s right now and since March the pair has traded pretty frustratingly between 1.1650 and the high 1.18’s. The tug-of-war between dollar strength and weakness seems to have faded any interest in GBP/EUR into the background and it looks like it will take either drastic action from the incoming Mark Carney or an implosion in another EU Member State to catalyze some action.