GBPUSD continues to rise in light of optimism in the Brexit negotiations

Last Updated on December 1, 2020

GBPUSD is trading above $1.3400 for the first time in 12 weeks on Tuesday as market participants remained optimistic that a deal on Brexit could be reached this week, despite the lack of negotiations progress.

GBPUSD rallied above $1.3400 with the dollar’s weakness, reaching its highest level in three months and a 0.6% gain today.

GBP/USD

The United Kingdom left the EU in January and is currently in a transition period ending on December 31, and the two sides are currently in trading talks to reach an agreement about the relationship between the United Kingdom and EU.

The senior British minister ”Michael Gove” said Tuesday that talks are still pending overfishing issues, governance, and dispute resolution because the European Union is asking for too much.

GBPUSD continues to rise in light of dollar weakness

The dollar fell against most of the major currencies during trading on Tuesday, deepening its losses in the wake of weak economic data in the United States.

Government data revealed that the PMI for manufacturing activity in the United States fell to 57.5 points last month from 59.3 points in October, while analysts expected a reading of 57.9 points.

The administration of US President “Donald Trump” announced that it would start distributing doses of two anti-Coronavirus vaccines ahead of the Christmas holidays and celebrations this month.

For its part, “Moderna” company stated yesterday that the effectiveness of its vaccine against Coronavirus is close to 100% and that the vaccine is suitable for all age groups and protects against severe symptoms of the virus.

In terms of trading, the dollar index fell by 19:03 GMT, by 0.6% to 91.3 points, and recorded the highest level at 91.9 points and the lowest level at 91.2 points.

Professional Trader and Analyst, economist in Financial and Forex marketsince 2004.holds an MBA from the American University in Egypt. Mohammed works as an economic writer and technical & fundamental analyst for many international Forex and financial trading companies in both English and Arabic on a daily basis.
Mohammed Abdelkhalik

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