THE POUNDED STERLING
The GBP traded at $1.6047 as of 7:57 AM London time after devaluing 0.4 percent on Tuesday. It fell to USD 1.6010 on Jan. 4, hitting the rock-bottom unprecedented since Dec. 7, and was at 81.50 pence per Euro, having plummeted to 81.62 pence yesterday, the weakest since Dec. 31. At the time of writing GBP/USD is holding a range between 1.6035 and 1.6065.
All told, the pound has fallen 0.8 percent during the past week, thus winning the dubious laurels of the worst performer of 10 developed-market currencies.
The Sterling is remaining steadily low in its struggle with both the Greenback and the block currency against the background of the improved, although to the measure somewhat less than expected, total trade balance in the UK (the deficit has narrowed from GBP 3.729 billion in October down to GBP 3.466 billion in November).
The key factor to the relatively favorable trade deficit in November is higher exports, particularly to the countries outside of the European Union. Total exports rose to GBP 40.322 billion from GBP 39.646 billion in October, while imports grew from GBP 43.375 billion to GBP 43.788 billion in October. The volatility of the trade throughout the 2012 is chiefly blamed on to factory and office closures because of the Royal Jubilee, which affected the exports, while the trend in imports had been generally more settled.
|THE POUNDED STERLING page created by victor derma|