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Weak Dollar Ends Three Day Sell-off in GBP/USD

Tuesday, 10 April 2007 21:27:41 GMT

Written by Kathy Lien, Chief Strategist
Like the Euro, broad dollar weakness put an end to the three day long sell-off in the GBP/USD.  There was no data released overnight, but we have a number of UK event risks tomorrow including BRC retail sales and leading indicators. Consumer spending is expected to rebound in the month of March along with leading indicators. Even though recent economic data has not been compelling enough to prompt the Bank of England to lift interest rates at its most recent meeting, it has been good enough to convince the market to price in 2 more interest rate hikes this year. 
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