Euro reversal against British Pound nears 0.8650 after soft Eurozone data

A member of the European Central Bank Governing Council has indicated that the upcoming June meeting will determine whether interest rates are raised or left unchanged, underscoring growing uncertainty over the next phase of eurozone monetary policy. According to Kocher,…

The post British Pound softens against Japanese Yen amid rising uncertainty over UK leadership appeared on BitcoinEthereumNews.com. GBP/JPY extends losses for the second consecutive day on Wednesday as the British Pound (GBP) comes under broad pressure, weighed down by rising political uncertainty in the United Kingdom. At the time of writing, the cross is trading around 213.08, easing from an intraday high near 213.70 and down roughly 0.15% on the day. Political pressure on UK Prime Minister Keir Starmer intensified after the Labour Party suffered heavy losses in last week’s local elections. Reports suggest that more than 80 Labour MPs have called on Starmer to resign, while four cabinet ministers have already stepped down amid mounting pressure. UK Health Secretary Wes Streeting is reportedly emerging as a potential leadership challenger. Starmer has confirmed that he will not resign from his post, while allies close to the Prime Minister reportedly said he is prepared to face Street

The post ECB’s Muller: Fast Hormuz solution needed to hold in June appeared on BitcoinEthereumNews.com. European Central Bank (ECB) policymaker Madis Muller said on Wednesday that a fast resolution in the Strait of hormuz is needed for the ECB to hold rates unchanged in June. Regarding the economic outlook, Muller noted that the Eurozone has not fallen into stagflation and added that he doesn’t see any resons to talk about recession. Market reaction EUR/USD stays under bearish pressure following these comments and was last seen losing 0.3% on the day at 1.1705. ECB FAQs The European Central Bank (ECB) in Frankfurt, Germany, is the reserve bank for the Eurozone. The ECB sets interest rates and manages monetary policy for the region. The ECB primary mandate is to maintain price stability, which means keeping inflation at around 2%. Its primary tool for achieving this is by raising or lowering interest rates. Relatively high interest rates will usually result in a stronger Euro and vice v

The post Euro extends losses below 1.1700 as Eurozone data disappoints  appeared on BitcoinEthereumNews.com. The Euro (EUR) extends losses against the Dollar (USD) for the second consecutive day on Wednesday, trading below 1.1700 at the time of writing after rejection at 1.1790 on Tuesday. Eurozone Gross Domestic Product (GDP) and, above all, Industrial Production figures have failed to meet expectations, increasing bearish pressure on the Euro. The second estimate of the Eurozone’s GDP confirmed that the economy grew at a meager 0.1% pace in the first three months of the year, and 0.8% in the previous 12 months, down from 0.2% and 1.2%, respectively, in Q4. Beyond that, Eurozone Industrial Production figures have shown a 0.2% growth in March, below the 0.3% market forecast, and February’s figures have been revised down to 0.2% from the previously estimated 0.4% rise. Year-on-year, factory output has accelerated its contraction, to -2.1% in March, from -0.8% in the previous month. The

The post Pound Sterling Price News and Forecast: GBP/USD languishes near a two-week low appeared on BitcoinEthereumNews.com. British Pound seems vulnerable near two-week low vs USD; GBP/USD holds above 1.3500 The GBP/USD pair struggles to capitalize on the previous day’s late bounce from the 1.3500 psychological mark, or a nearly two-week low, and oscillates in a narrow band during the Asian session on Wednesday. Spot prices remain below the 1.3550 level and seem vulnerable to weaken further amid a combination of negative factors. The British Pound (GBP) continues to be undermined by a severe political crisis in the UK, with over 80 Labour MPs calling for Prime Minister Keir Starmer to resign following disastrous local election results. The US Dollar (USD), on the other hand, is seen consolidating the previous day’s strong gains to an over one-week high as hot US inflation data reaffirmed bets for a rate hike by the Federal Reserve (Fed). These turn out to be key factors acting as a he

The post British Pound Holds Above 1.3500 But Remains Vulnerable Near Two-Week Low appeared on BitcoinEthereumNews.com. British Pound Holds Above 1.3500 But Remains Vulnerable Near Two-Week Low Skip to content Home Forex News British Pound Holds Above 1.3500 but Remains Vulnerable Near Two-Week Low Source: https://bitcoinworld.co.in/british-pound-holds-above-1-3500-two-week-low/

The post Euro moves little against Japanese Yen as risk aversion increases appeared on BitcoinEthereumNews.com. EUR/JPY remains flat after registering modest losses in the previous day, trading around 185.00 during the Asian hours on Wednesday. The currency cross remains stable as the Euro’s (EUR) decline is driven by a wave of risk aversion following faded hopes for Middle East peace, which effectively offsets Japanese Yen (JPY) weakness. However, the Japanese Yen may gain ground against its major peers as the Bank of Japan’s April Summary of Opinions revealed that policymakers are considering further rate hikes as early as their next meeting, driven largely by inflation risks linked to rising oil prices. The Organisation for Economic Co-operation and Development (OECD) has recommended that Japan primarily utilize consumption tax increases to bolster its national revenue. On the monetary front, the Bank of Japan (BOJ) is projected to raise short-term policy rates to 2% by the end of 2

The post British Pound: Political risk premium builds against Euro – ING appeared on BitcoinEthereumNews.com. ING’s Francesco Pesole highlights rising political uncertainty in the United Kingdom (UK) as calls grow for Prime Minister Keir Starmer’s resignation, with betting markets seeing a high chance he leaves office this year. He notes emerging political risk premium in EUR/GBP and warns sterling could face further pressure as markets assess leadership contenders and fiscal-rule credibility. Sterling pressured by UK political turmoil “The pound started coming under pressure yesterday afternoon (after a strong session) as calls for Starmer’s resignation intensified. For the first time in a long time, some political risk premium seems to be emerging in EUR/GBP.” “That is, however, still small according to our model, around 0.3% short-term overvaluation.” “The pound has plenty of additional room to build a negative premium, with markets likely to shift their focus to which candidate hol