Sterling Climbs above 1.39 for First Time since 2018

LONDON, Feb 15 Reuters The British pound climbed above 1.39 on Monday for the first time in nearly three years, lifted by broadbased dollar weakness as well as by hopes for the end of a third national lockdown.

The currency has been a key gainer against a struggling greenback this month as the aggressive rollout of the COVID19 vaccination programme in the United Kingdom raised hopes that its economy will be able to recover more swiftly than its European peers.

British Prime Minister Boris Johnson will judge this week how fast England can exit its COVID19 lockdown after vaccinating 15 million of its most vulnerable people.

GBP continues to reap the dividends of a successful vaccine rollout and momentum is building towards a reopening of the economy probably starting with schools on March 8th, said Chris Turner, Global Head of Markets at ING.

Britains Brexit deal with the European Union has also removed some pressure from the currency.

The reopening of the economy following the post Brexit rerating could likely support sterling towards 1.40, ING told clients in a note.

Britain has vaccinated 15.062 million people with a first dose and 537,715 with a second dose, the fastest rollout per capita of any large country. Britain expects its weekly supply of COVID19 vaccines to increase over time, Health Secretary Matt Hancock said on Monday.

England, which is home to about 85 of the UK population, launched a hotel quarantine system on Monday, demanding that passengers…

What's your reaction?

In Love
Not Sure

You may also like

Leave a reply

Your email address will not be published. Required fields are marked *

More in:News