06.03.2020 EUR/GBP Daily Analysis

06.03.2020 EUR/GBP Daily Analysis

 

 TURNING LOWER AS RESISTANCE STANDS FIRM

The British Pound found itself as one of the better performing major currencies on Thursday, March 05 amidst an ongoing recovery in global stock markets, signs that the Bank of England won't rush into an interest rate cut and constructive comments from the EU following the first round of EU-UK trade negotiations. The Pound-to-Euro exchange rate was quoted at 1.1544, down slightly on the day but we note the Euro is currently the currency of the moment and there is little standing in the way of its stellar run. Another key theme driving sterling is the UK-EU trade talks. The Pound still has some way to go before it overturns the sharp declines witnessed in the final days of February, a decline that coincided with an outbreak of concern over the economic impact the coronavirus will deliver.