ForexLive European morning FX news wrap: Pound tops 1.30 after retail sales beat

Author: Adam Button | Category: News

Forex news for European trading on May 18, 2017:

Markets:

  • Gold down $1 to $1259
  • WTI crude down 69-cents to $48.38
  • UK 10-year yields down 2 bps to 1.05%
  • FTSE 100 down 81 points to 7422
  • GBP leads, EUR lags

The surge in UK retail sales raised eyebrows and skepticism but it also raised the pound. The strong headlines sent cable above 1.30 before it finally stalled ahead of offers at 1.3050. That's the highest since early October.

Otherwise the theme has been worsening sentiment as the US political intrigue deepens on the appointment of a special prosecutor to look into Trump's campaign ties to Russia. US stock futures had been down as much as 15 points but they've pared most of the losses.

By the same token, USD/JPY fell as low as 110.24 but bounced to 110.80 most recently.

The euro is retracing after four days of big gains. It's down 45 pips to 1.1115 and near a session low.

           

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