Sterling’s gains extended on Monday across a broad range of currencies, having traded at 10 week highs against the US Dollar at $1.4160. It is thought BoE Governor Bailey may reject interest rate hike fears in a speech later today whilst the Queen in her speech, will confirm the governments legislative agenda. Against the Euro, key resistance of 1.1600 has now been broken, another positive signal supporting the Pound.

Ahead of the latest ZEW economic readings for May, the Euro is holding up well against the generally weaker US Dollar as $1.2100 key resistance has now given way. Investors await stronger evidence of an economic rebound and signs of success on the vaccine front across mainland Europe.

A combination of stronger global stocks/indices and weaker employment data in the USA has seen the Dollars losses extend during the last 24 hours. Market sentiment in the medium term remains negative on the currency.

Opening Interbank levels:
GBP/USD 1.4120
GBP/EUR 1.1630
EUR/USD 1.2140