The sterling has posted some strengthening despite uncertainties about further Brexit realization, especially given the recent resignation of the officials. The players wait for the economic growth report, that can make the BoE decide to revise the interest rate this August.
The sterling remains under pressure as the officials keep leaving the Parliament. For reference, Borish Johnson, Foreign Affairs minister resigned yesterday. As a result, this was the third resignation over the past few days. The ministers left the office unwilling to support the soft Brexit strategy followed by Theresa May.
With Johnson's leaving, the vote of no-confidence in Theresa May becomes more real, and thus the further operation of her government is brought into the question. At the same time, the sterling got some support from the reports that Theresa May can avoid this vote. In this situation, hopes that the soft Brexit can take place to persist.
The sterling improved against the euro with euro sliding to some 0.8836.
For now, investors expect GDP figures to be unveiled, as this data can promote the August revision of the interest rate by the Central Bank. Specifically, some analysts believe that the
UK economy will recover further after the early-2018 slowdown.
In addition, the UK may also announce trade balance data, industrial production and processing industry results.
As for the US dollar, the US Dollar index regained positions after weakening early this day. The rate stands at 94.18. The euro-to-US dollar dipped to 1.1698. The greenback rises against the yen, coming to 111.34 as well.