Thursday, 12 February 2009

Pound weaker against the dollar

The dollar began to strengthen against most major currencies yesterday due to uncertainty arising over the US government’s bailout plan. Additionally, the UK released a report showing that unemployment had hit a 10 year high. However, the dollar later reduced gains against the pound after Congress reached a deal on the stimulus package.

The Bank of England released a report predicting that inflation would be 0.5% in 2 years and stated that further easing in monetary policy might be needed in the near future.

There are several significant announcements taking place in the US today, including MBA Mortgage Applications, Jobless Claims and Retail Sales.

No comments:

Post a Comment