Investing.com – The pound has reached a two-year peak against the euro on Friday and a peak of three months against the dollar thanks to the growing confidence that the Uk can avoid collapse after its exit from the european Union.
The british newspaper the Sun has reported that the unionist party democratic irish was prepared to support conditionally the plan B of the First minister Theresa May, next week.
“If this is true, I think that the pound will recover to 1.32 against the dollar. A break technique to 1.38 is also a possibility, ” said Michael McCarthy, chief strategist of markets at CMC Markets, in a Reuters report.
The agreement must be the subject of a debate and a vote in the Parliament on 29 January. In order that the agreement may be approved, it will have to convince far more than the handful of lawmakers DUP. His plan had been rejected by 432 votes to 202 in the House of commons earlier this month.
The pair GBP / USD has climbed to 1.3134 USD in Asia, but declined to 1,3077 USD Friday at 04:07 ET (09:07 GMT). The book has also climbed to 1,1598 against the euro, its highest level since may of 2017, after that the member of the board of directors of the european central Bank Benoit Coeure has suggested that the bank might not raise interest rates at all this year.
During this time, the dollar index, which tracks the greenback against a basket of other currencies is down to 96% 96,140, traders are digesting the latest news on the trade disputes between the United States and China.
In an interview with CNBC on Thursday, the us Commerce secretary, Wilbur Ross, said he recognized that there was “a good chance” to conclude a trade agreement, and that he thought that China and the United States were eager to end their trade war.
“The trade is very complicated. There are many, many problems “, he said.
Ross added that the two parties had made progress on matters “easier”, such as the amount of certain u.s. products that the Chinese would agree to buy, such as soy, and liquefied natural gas.
Lawrence Kudlow, economic adviser to the White House, said that president Donald Trump, optimistic about the trade negotiations, contradicting the words of Mr Ross, adding that he expected a significant increase in the employment report for January.
Elsewhere, the australian dollar was little changed after falling on Thursday after one of the four largest australian banks, National Australia Bank (AX: NAB), has raised its loan rate.