GBP/USD hits highest level in almost two months

Following on from Donald Trump’s healthcare bill failing to pass we saw GBP/USD exchange rates hit a 7-week high during trading yesterday. Those looking to buy US Dollars witnessed the best rates we have seen since early February, with mid-market levels creeping over the 1.26 mark at one point.The fact that Trump has failed with this particular reform does now suggest that other reforms that he had planned may not be delivered so it has heaped a lot of pressure on the US Dollar.

Any political instability can be damaging for a currency and if we are honest then Donald Trump currently has a number of issues that he will have to overcome.

US economic data this week

We have a large amount of economic data out for the Dollar this week compared to that of other economies.

Today we have several members of the Federal Reserve speaking and investors will be listening and waiting for any hints on what the next move may be for US interest rates.

Tomorrow we have Pending Home Sales data, along with Mortgage application data throughout the afternoon and this will give us an indication on how the housing sector in the States is fairing.

Thursday may be a big one for the Dollar, we have US GDP (Gross Domestic Product) data at 13:30pm. GDP shows the amount and economy has grown during a specific period and will be one of the key figures that the Federal Reserve will be concentrating on as they decide on their next rate hike.

Finally on Friday we have the Baker Hughes Oil Rig count which will round off the week. This measures the number of active oil rigs and is a key barometer for the drilling and oil sector so could give us a volatile end to the week’s trading.

If you are looking to sell US Dollars or any currency pegged to the US Dollar, then get in touch with our trading floor today on 01494 725353 and discuss the matter with one of our experienced traders. Most people in this position are hedging their risk and bringing some of their money back whilst rates are almost the best they have been in 30 years and personally I feel that this is a great approach too.

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Exchange rates on this page are interbank rates and indicate where the market is trading to show the performance of a currency pair. They are not indicative of the rates which we offer. The information on this web site is provided free of charge for information purposes only. It does not constitute advice to any person on any matter. Foreign Currency Direct plc. ("FCD") makes every reasonable effort to ensure that this information is accurate and complete but assumes no responsibility for and gives no warranty with regard to the same.