Is Sterling now in 'oversold' territory?

Sterling selling resumes and (data dependent) it could be about to get worse this week..



GBP
The Pound is in the red again today as investors, traders, economists and pretty much everyone loses confidence in both the chancellors plan and how well the UK could perform in 2025.

In case you have been living under a rock for the past week, how the UK is choosing to manage its debt is under intense scrutiny, which has prompted a fairly large currency sell-off.

Labour's long anticipated budget has proven to be near fatal to the economy (flat-lined), it has seen inflation and unemployment rise, both business and investor confidence has plummeted and the £ is the worst performing currency of the G7 so far this year (by some distance).

Economically, the Pound faces a tough week ahead with big data releases. Every bit of data has the chance of punishing GBP further, whilst seeing it improve only marginally if things go better than expected. A risk week therefore is being called for Sterling sellers.




EUR
The Euro faces the same week ahead as the previous two in 2025 so far. More losses versus the USD and more gains against GBP..

It's not about the EU/Euro-Zone/€ on financial markets at this moment, but their time will come soon no doubt (inflation is expected to be a non-event this week). The things going on in both the US & UK are too prominent for now, so the 'sitting duck' role will be played.



USD
The Dollar is broadly very strong just now and is completely dominating the majors. A clear 3% and over 4% gain versus the Euro & Pound respectively in just the last month alone is considerable. 

But more is still expected to come both near & long term, even though the routs have been swift and deep already. Key economic data is being released this week by the US, so there could be some respite for both the € & £, but I won't be betting on it.


Please check out the main events of the week below..



Expected mid-market ranges for January 13th 2025

gbp
GBP
usd
USD

    $1.2050 - $1.2150    


gbp
GBP
eur
EUR

    €1.1850 - €1.1925    

Upcoming Data
Monday 13th January 2025
19:00 US - Fed budget balance



Tuesday 14th January 2025
13:30 US - PPI & core PPI




Wednesday 15th January 2025
07:00 UK - Core inflation & inflation rate
07:45 EU - French inflation
08:00 EU - Spanish inflation
10:00 EU - Euro-Zone industrial production
13:30 US - Core inflation & inflation rate



Thursday 16th January 2025
07:00 UK - GDP, industrial/manufacturing production & trade balance
07:00 EU - German inflation rate
09:00 EU - Italian inflation rate
10:00 EU - Italian & Euro-Zone trade balance
12:30 EU - ECB monetary policy meeting
13:30 US - Initial/continuing jobless claims & retail sales
15:00 US - Business inventories
21:30 US - Fed's balance sheet




Friday 17th January 2025
07:00 UK - Retail sales
10:00 EU - Euro-Zone core inflation & inflation rate

13:30 US - Building permits & housing starts
14:15 US - Manufacturing & industrial production




open-account
Open an account
No credit checks are required and it takes just 2-minutes to register. It is free to set up, maintain and close and there is no-obligation to trade with us.

review
Check out our 5* Trustpilot reviews
Find out why we are the UK’s number 1 rated currency brokerage for overseas property buyers and sellers, from people just like you!

funds-safe
How we keep your funds safe
Let us answer and explain the most important question you should be thinking when considering using a company like us to transfer your money abroad.

choose-us
Why choose us?
Read what sets us apart in the industry, how we take a different approach to overseas payments & why we should be your choice.

Hedging
Hedging
A key component to our offering is risk management of your funds. Here we explain some important products you should be considering when moving a large sum abroad. 

How we can help
Since 2004, we have been helping customers move their money overseas safely, quickly and at a preferable rate of exchange. Whether your requirements are purchasing a dream property abroad or your business is paying suppliers for products, we can help.

We are the exclusive currency partner to many well established real estate agencies and solicitors worldwide and we consult a varied customer base who have large requirements for foreign exchange.
Our team of experienced currency consultants will save you an enormous amount of time and money, by getting to know you, your requirements and your risk appetite. Your dedicated account manager will be there to offer you expert guidance to ensure your money goes further.
Get in touch with us today for a personal service that you won't get anywhere else on 01322 221 121 or email us at info@excelcurrencies.com
Referral Rewards
Referrals are the lifeblood of our business. Good reviews are our metric for success. We are driven by making a difference in peoples lives when it comes to overseas payments and if you know anyone that could benefit from our service, please let us know here..
We have some great rewards to offer
Virgin
Virgin
wine
Wine
amazon-voucher
Amazon
golf
Golf
Refer now