Pound Holds Steady Amid US Dollar’s Post‑Friday Slide

Britain’s Pound Balances Out After Friday’s Ramadan‑Like Drop

After a quick plunge on Friday, the sterling has held its own this Monday, sitting at the same US$1.2619. In other words, it’s the kind of recovery that gives traders a sigh of relief rather than a roar of triumph.

Why the Pound is Giving a Friendly Hug to the Dollar

Weaker Dollar – The U.S. currency is feeling the post‑election wind‑down, which is a welcome breeze for the pound.
Market Momentum – Without the buffeting expectations that followed the U.S. election, investors are less jittery.

Is the £ at RISK?

Heads up: the next UK inflation data drops later this week. If inflation keeps hovering high, the Bank of England might tighten its policy. That could send the pound on a roller‑coaster ride, and investors are bracing for that ride.

Expert Take

Jane Foley, senior FX strategist at Rabobank, weighed in: “The pound continues to hold its own versus the euro,” she said. She also added that the EUR/GBP pair is likely to inch toward 0.8150 over the next 12 months.