Today on Thursday (July 7), the GBPUSD opened at 1.1924 and closed at 1.1920 yesterday. So far, the highest has touched 1.1930 and the lowest has been 1.1907. Temporarily reported 1.1916, down 0.04%. The us dollar was temporarily reported at 107.05, a decrease of 0.02%; the Canadian dollar was temporarily reported at 0.7664, a decrease of 0.04%
In early Asian trading on Thursday (July 7), the U.S. dollar traded around 107, and the pace of aggressive U.S. interest rate hikes and risk aversion drove the U.S. dollar higher; the minutes of the Fed meeting showed that the July rate hike was 50 basis points and 75 basis points All possible, this fact shows that the Fed has acknowledged the impact of interest rate hikes on the economy; the euro has been dragged down by worries about the European energy crisis, and the euro has continued to fall against the dollar, hitting a new low in two decades.
Due to the continued political turmoil in the UK and many ministers dissatisfied with Johnson’s resignation, the pound fell 0.6% against the dollar on Wednesday to 1.1875, the lowest since March 2020, and finally closed down 0.30% at 1.1921.
Following the resignations of Chancellor Rishi Sunak and key cabinet member Sajid Javid on July 5, Ashworth said: “The smog in politics does not mean that the UK economy should have a bleak outlook. … Maybe you can stay optimistic.”
Sterling fell as much as 1.8% against the dollar on July 7 to 1.1875, its lowest since March 2020, as members of the British cabinet resigned. Under the circumstance that the epidemic hits the economy, the continued turmoil in the British political situation has cast a shadow over the outlook for the pound, and the possibility of further declines in the future cannot be ruled out.
Nomura Securities: GBP/USD is expected to fall to 1.15 by the end of July and 1.10 by the end of September