Pound Set for Weekly Gain Versus Dollar Before Construction Data The pound was set for its first weekly advance against the dollar in four weeks before a report today that economists said will show U.K. construction output contracted at a faster pace in May from a year earlier. Sterling was little changed against the euro before the Bank of England publishes the minutes of its most recent meeting next week that will reveal how policy makers voted at new Governor Mark Carney’s first meeting. U.K. construction business shrank 2.8 percent in May, compared with a 1.1 percent decline in April, according to the median of seven estimates in a Bloomberg News survey. The pound was little changed at $1.5169 as of 7:29 a.m. in London after declining to $1.4814 on July 9, the lowest level since June 2010. It has gained 1.9 percent this week, the most since the period ended June 7. The U.K. currency was at 86.20 pence per euro. Sterling strengthened 1.1 percent against the dollar yesterday, the biggest daily gain since June 6, after Federal Reserve Chairman Ben S. Bernanke said on July 10 the U.S. economy still needed stimulus that tends to devalue a currency. The pound has weakened 1.9 percent this year, according to Bloomberg Correlation-Weighted Indexes, which track 10 developed-nation currencies. The dollar rose 5.9 percent and the euro gained 4.9 percent. Gilts dropped 3 percent this year through yesterday, according to Bloomberg World Bond Indexes. German bonds declined 1.1 percent and Treasuries fell 2.7 percent, the indexes show.
Posted on: Fri, 12 Jul 2013 07:29:35 +0000
Trending Topics
Recently Viewed Topics
© 2015