The Pound US Dollar (GBP/USD) exchange rate is steady as the latest lockdown easing measures come into force across much of the UK today.
At the time of writing the GBP/USD pairing are trending around the $1.41 level as investors wait to see if the latest easing of measures triggers another wave of the virus.
Pound Sterling Steady on UK Lockdown Easing
The Pound has found itself steady against the US Dollar this morning despite concerns over the latest lockdown easing across the UK.
The latest stage of the roadmap out of lockdown in England has seen indoor hospitality including pubs and restaurants reopen and groups of up to 30 people allowed to meet in an outdoor setting.
Concerns continue to increase over the Indian variant of the virus however, with worries that a further spike in cases could cause England’s complete movement out of restrictions on the 21st of June to be delayed.
The business secretary Kwasi Kwarteng spoke to UK television this morning about the Indian variant of the virus, and the vaccine:
‘Matt Hancock said yesterday very clearly that he had a lot of confidence that the vaccination does work against the Indian variant. But of course we can’t definitely prove anything until we’ve eased up and we see what the actual data shows, and that’s why we’ve got a degree of flexibility.’
‘But there is nothing in the evidence now that we’ve seen that suggests that the vaccine isn’t very effective against the Indian variant.
US Dollar (USD) Mixed on US Retail Sales Stalling
The US Dollar has been mixed against many of its major rivals this morning after disappointing retail sales data from the US at the end of last week caused the currency to lack any drive.
US retail sales were stagnant during April, surprising markets and causing the US Dollar to lose some of its strength it had made earlier in the week.
This morning’s session has seen the US Dollar search for any meaningful gains as the Euro continues to head higher on the success of the Eurozone’s vaccine rollout USD looks open to lose further traction for the remainder of the day.
GBP/USD Exchange Rate Outlook: UK Employment Data in Focus
For Pound investors, tomorrow will see the release of the latest employment data from the UK for March. The data is thought to show that the unemployment rate moved higher to 5% as much of the country battled through stricter lockdown measures.
For US Dollar traders, in the coming days the global market mood will drive movement in the currency.
As the Indian variant of the coronavirus continues to cause havoc the US Dollar could see itself heading higher if investors chose to head towards safe-haven currencies.