Pound is growing moderately. Overview for 12.09.2022

The British pound against the US dollar recovered quite a bit upon renewing the lows. The current quote is 1.1621.

Great Britain is now through a hard time, and now it is not even about finance: first the country had to decide upon the new head of the Conservative party who then becomes the Prime Minister. Liz Truss was elected, and she is quite a controversial and arguable politician. And now the country is saying farewell to the Queen: last week, Queen Elizabeth II passed away, who had been the formal head of Britain for 70 years.

The new King Charles III will neither make crucial political decisions but will preserve the status of the head of the state. This event is not going to change much in the British reality, except for the necessity to change a part of cash in turnover.

Anyway, Great Britain will be very active on the macroeconomic calendar this week. A block of statistics is scheduled for Monday, including industrial production parameters and the merchandise trade balance, as well as the GDP for July. Employment market info will appear later. All this will make the pound excessively volatile.

By the way, for this week a meeting of the Bank of England was scheduled but it was eventually postponed for 22 September.