The British Pound Sinks to New Depths as the USD Moves in a Risk-Off

British Pounds

The British Pound is trading at levels not seen since the Bretton Woods monetary system was abandoned in 1972. The US Dollar continues to trade higher as assets perceived as safe havens are being sought.

Sterling fell on Monday following the mini budget delivered on Friday, which made the market inquisitive about the UK’s financial position after significant tax cuts were announced.

There have been speculations that these cuts might cause the Bank of England to Act by hiking interest rates or buying GBP/USD in the forex market.

Last week, the Bank of Japan bought USD/JPY for the first time in 24 years. Japan’s Finance Minister Shunichi Suzuki  stated today, in respect of the Bank of Japan, “We’re strongly concerned about speculative moves, and there’s no change in our stance that we’ll respond as needed.”

USD/JPY traded back above 144 on Monday, and a move above 145 will be closely monitored by the market for a reaction from the BoJ.

The USD keeps surging in the forex market, reaching a 20-year high against the Euro.

Equity markets are currently scrambling as recession risks are being priced in by stock markets. China is slightly in the green after Covid-19-related restrictions have eased.

Commodities are also up in the storm in the market as the WTI futures contract approaches US$ 78 bbl while the Brent contract dipped below US$ 86 bbl. Gold is slightly lower, trading under US$ 1,640.

This Post Has 2 Comments

  1. Rastrear Celular

    Quando você esquecer a senha para bloquear a tela, se você não inserir a senha correta, será difícil desbloquear e obter acesso. Se você achar que seu namorado / namorada suspeita, você pode ter pensado em hackear o telefone Samsung dele para obter mais evidências. Aqui, iremos fornecer-lhe a melhor solução para descobrir a palavra-passe do telemóvel Samsung.

  2. dobry sklep

    Wow, fantastic blog layout! How long have you been blogging for?
    you made running a blog glance easy. The entire look of your
    website is magnificent, let alone the content material!

    You can see similar here sklep internetowy

Leave a Reply

Important Link

Fund Your Deriv Account
Withdraw Funds to Your Local Currency
VIP Trading Signals
Learn To Trade

Contact Us

Follow Us


Forex, Crypto, Options, and Binary Options have both large potential rewards and large potential risks. Therefore, before investing or trading any of the assets, ensure you are aware of and willing to accept the accompanying risks. Do not trade money you cannot afford to lose.

All Rights Reserved. None of the content of this website can be published elsewhere by any means without the prior consent of the owner(s). Please, check our terms & conditions and privacy policy before continuing to use this website.

This website and its owner(s) are not in any way liable for any incurred loss, whether caused by the information provided on this website or otherwise. The use of this website, including the content and information provided, is the user’s sole liability.