Sterling receives support from the struggles in Asia

With sentiment surrounding UK economic growth still largely negative, alongside concerns about the imminence of the country’s European Union (EU) Referendum, sterling found itself slipping to the lowest level in 5-years versus the US dollar – and struggling against the euro during early trading. However, little economic data of note was released for any of the main currencies on Monday, and with Asian stocks struggling once more, sterling found some support throughout the day as trade volumes were lowered across the markets and by the end of the day found itself stronger against the euro and just about even against the US dollar.

Today sees the release of manufacturing production figures from the UK, and these are expected to rebound from the negative reading seen last month. Bank of England (BoE) Governor Mark Carney will be speaking later in the day and, with the BoE’s latest interest rate decision expected later in the week, investors will be listening for any indication towards future monetary policy.