By Tom Lydon:
With the British economy teetering on another recession, market observers are anticipating new stimulus measures from the Bank of England, driving the British pound currency, along with a related exchange traded fund, to a three-year low.The CurrencyShares British Pound Sterling Trust (FXB) dropped 4.4% over the past three months.
More QE on the cards as FTSE hits 6400 and Sterling weakensMinutes from the previous Bank of England MPC showed three committee members voted to increase asset purchases, including that of Governor Mervyn King, and thereby [...]Joshua Raymond
Tokyo (AFP) - The British pound surged to a more than two-year high against the euro Friday, while it also rallied against the dollar as early results suggested Scotland will vote against independence from the United Kingdom.
Hickey and Walters (Bespoke) submit:
The US Dollar Index has pulled back from 52-week highs in recent weeks, and it is now sitting just above its 50-day moving average. At the same time, the euro really hasn't bounced much, and it remains in a nasty downtrend. Two currencies that have gained ground in recent weeks are the British pound and the Swiss franc.
With the euro already weakened by the Greek debt crisis, comments on Thursday by the Bank’s governor, Mark Carney, pointing to dearer borrowing around the New Year pushed sterling to levels last seen in the month following the collapse of Northern Rock in the autumn of 2007.
MUMBAI: The rupee rebounded from its 20-month low on Thursday with a 30-paise gain against the US dollar and closed at 63.94 in the interbank foreign exchange market here on Friday. The domestic currency gained on the back of a 506-point recovery in the BSE sensex and a 134-point jump in the NSE nifty to close at 27,105 and 8,192 respectively. Despite ending the week on a positive note, dealers and economists are forecasting that the rupee is in a depreciating mode and would continue to lose value in the first half of the year.
First it was China hinting that where Silk Road failed in monetizing, pardon the pun, BitCoin, the world's most populous nation could soon take the lead. Then, none other than private equity titan Fortress said it had great expectations for the digital currency. Now, it is eBay's turn to announce that it is preparing to expand the range of digital currencies it accepts, adding that "its payment unit PayPal may one day incorporate BitCoin." But not just yet.
The pound sterling was worth just 1.1526 euros in London trade on Thursday, its lowest since the 1999 creation of the European single currency. The Bank of England is expected to lower its interest rate later in the day.