GBP/USD has been on the back foot amid the risk-averse mood. The UK’s lockdown decision, US jobless claims, coronavirus, and Brexit talks are eyed, FXStreet’s analyst Yohay Elam briefs.
Key quotes
“The UK government will likely extend restrictions for another three weeks, and we see a ‘buy the rumor, sell the fact’ response supporting sterling.”
“GBP/USD has pressured by safe-haven flows to the US dollar, a response to the economic damage inflicted by the stay-at-home orders. Retail sales plunged by 8.7% in March.”
“The Federal Reserve’s Beige Book, industrial output, and the historically low NY Fed Manufacturing Index all contributed to the gloom.”
“The focus today is on weekly jobless claims, which are expected to exceed 20 million in the week ending on April 10.”
“The first Brexit talks after the long break were friendly according to reports. News suggesting progress may boost the pound while acrimony may send it lower.”
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