British Pound (GBP) Latest: GBP/USD, FTSE 100 Outlook Still Positive
GBP price, news and analysis:
- GBP/USD and the FTSE 100 index of the major London-listed stocks are easing gently Thursday but continue to trend higher as hopes rise of a drug that could help patients recover more quickly from coronavirus.
- Meanwhile EUR/GBP remains flat ahead of news from a monetary policy meeting of the European Central Bank.
GBP/USD uptrend persists
GBP/USD and London’s FTSE 100 stock market index are well placed to continue to push ahead, helped by hopes that Gilead Sciences’ experimental antiviral drug remdesivir will help patients infected by coronavirus recover more quickly. There are hopes too that AstraZeneca will make and distribute globally a Covid-19 vaccine.
In response, GBP/USD continues to advance within a well-defined upward channel on the charts despite modest early losses in Europe Thursday and some mixed UK company results. Royal Dutch Shell is cutting its dividend for the first time since World War II but there was also news of record sales at Reckitt Benckiser on a boom in disinfectant sales.
GBP/USD Price Chart, One-Hour Timeframe (April 22-30, 2020)
Chart by IG (You can click on it for a larger image)
Elsewhere, EUR/GBP continues to trade sideways ahead of news from a meeting of the European Central Bank, which could expand its pandemic emergency bond-buying program. Details from the UK Debt Management Office of its plan to sell £180 billion pounds of debt over the next three months to fund the government's coronavirus stimulus program had little impact.
As for UK stocks, the FTSE 100 index was also modestly easier in early London trading Thursday but it too could resume its move higher shortly.
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--- Written by Martin Essex, Analyst and Editor
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DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.