Pound Sterling (GBP)

GBP/EUR - Today's data summary

% change
+0.53%
Price Euros
1.1467
Change
+0.0060
As of 12:28 23 Jan 2019

GBP/JPY - Today's data summary

% change
+0.85%
Price Yen
142.9150
Change
+1.2100
As of 12:25 23 Jan 2019

GBP/USD - Today's data summary

% change
+0.56%
Price US dollars
1.3030
Change
+0.0070
As of 12:27 23 Jan 2019

Latest updates

Pound rises above $1.30

Pound and dollar
Getty Images

Sterling is up 0.49% against the dollar at $1.3020 - the highest level for 10 weeks.

David Cheetham, chief Market analyst at XTB online trading, says: "There’s been further steady gains seen in the pound this morning, with the market moving up to its highest level of the week and breaking above the psychological $1.30 level.

"Reports that the Labour party are set to back an amendment designed to eliminate the prospect of a no-deal Brexit has provided more good news for sterling bulls, and the market is back trading at its highest level since November."

Pound still ahead of dollar and euro

The pound has retreated somewhat against the US dollar and euro in midday trade in London, but is still ahead after it received a boost on the back of robust employment figures.

At midday sterling was up 0.02% against the dollar at $1.2895, and 0.11% against the euro at €1.1352.

Pound back above $1.29 on jobs data

Sterling rose after robust employment data suggested the UK jobs market was well positioned ahead of any potential economic slowdown around Brexit.

The pound jumped 0.25% against the dollar to $1.2924, and against the euro to €1.1371, after data showed pay growth hit a 10-year high.

But one analyst provided a note of caution.

"The earnings and unemployment figures have been somewhat overshadowed by continued Brexit chaos," said Tyler Griffin, a currency specialist at OFX.

"Investors are focused on how PM Theresa May will negotiate with the EU over the next few days,"

Pound loses ground

Rebecca Marston

Business reporter, BBC News

The pound is having a rather soggy start to the week. It has fallen against the three majors, although not by much.

Traders appear too baffled amid the political fog of Brexit uncertainty to send it anywhere fast. It is down 0.32% against the euro at €1.1292, down the same against the yen at 140.8150 and almost half a percent lower against the dollar at $1.2845.

FTSE opens down, pound lower

Pound coins
Getty Images

The FTSE 100 has opened 0.36% lower at 6,838.25.

The FTSE 250 is 0.34% lower at 18,424.09.

Meanwhile, the pound is down against the dollar so for this morning - off 0.18% at $1.2858.

It is marginally off against the euro at €1.1295.

'Sterling may rally'

Theresa May
NurPhoto

Seema Shah, senior global investment strategist at Principal Global Investors, believes that the pound will likely strengthen.

“Sterling may rally further as fears of a Corbyn-led government recede. The question is how much further could the pound strengthen? Prior to the Brexit vote, sterling sat at around $1.50 against the US dollar. As long as the possibility of “no Brexit at all” is alive, sterling could be drawn up in that direction," she said.

"However, given the untold damage already inflicted on the economy by the uncertainty of the past two years, it is doubtful that sterling will get within touching distance of the $1.50 mark – even in the most optimistic case of Brexit being stopped entirely."

What's Plan B?

Pounds, dollars and euros
Getty Images

Dean Turner, UK economist at UBS Global Wealth Management, says it's still hard to know which way sterling will go, given the continued political uncertainty.

“Attention will now swiftly turn to Plan B. Our suspicion is that when we hear the PM’s next steps on Monday, it will look remarkably like Plan A, which won’t offer markets much guidance.

"The salient question will remain – can the PM secure legally binding reassurances on a Northern Ireland backstop that boost the chances of getting the Withdrawal Agreement through Parliament – or will she change tack and risk further internal strife?"

'All roads lead to a soft Brexit'

EU and UK flags at Westminster
Getty Images

According to XTB's chief market analyst David Cheetham, it is likely that there will be a second Commons vote on an amended version of Theresa May's withdrawal deal.

"It now seems that all roads lead to a softer version of Brexit, which will require an extension of Article 50 beyond March and ultimately be positive for sterling," he said.

"The pound remains not far from its highest level since November against the US dollar and while the road ahead remains rocky, the path of least resistance now appears to be higher."

Sterling update

chart
BBC

A quick update on sterling as the US markets open.

Against the dollar, the pound is now off the day's highs but still in positive territory - up 0.05% at $1.2867.

Pound makes a modest gain

pound coins sitting on dollar note
Getty Images

The pound is rising against the dollar, up 0.2% at $1.2882, as the London markets open.

Against the euro the pound is up around the same amount at €1.1299 - its highest level against the single currency since November.