BER Currency News

BER Home/s

  1. News
  2. Market Updates
  3. Pound US Dollar at One-Year High as UK Inflation Surges

Pound US Dollar at One-Year High as UK Inflation Surges

Categories: AUD, CAD, EUR, GBP, Markets, News, NZD, USD


GBP/USD 1 Week Chart

The Pound (GBP) strengthened against the majority of its peers yesterday as the UK latest CPI figures came in higher than expected.

According to data released by the ONS, inflation in August jumped from 2.6% to 2.9%, outpacing forecasts it would only hit 2.8% and matching the four-year high struck in May.

Meanwhile, the release of the UK’s employment data later this morning may send Sterling even higher, especially if wage growth rises as expected.


The Pound Euro (GBP EUR) exchange rate rose by around half a cent on Tuesday as markets were impressed by the UK’s inflation figures.

Investors are hopeful that the surge in inflation will place more pressure on the Bank of England (BoE) to begin tightening monetary policy, and possibly lead to the bank raising interest rates in the near future.

Meanwhile, the Eurozone will release its latest industrial production figures later today, with the single currency likely to rally if output rises in July as expected.

US Dollar

The upbeat reaction to the UK’s inflation data propelled Sterling to a new one-year high against the US Dollar (USD) this morning as markets hope it persuade the BoE to hike rates sooner rather than later.

Meanwhile, not even a surprise rise in JOLT’s Job Opening figures were enough to aid the ‘Greenback’ yesterday, especially as some doubts over the short term impact of Hurricane Irma also linger.

However, an uptick in the US PPI data later this afternoon could see the US Dollar mount a recovery, as economists forecast that the core index will rise from -0.1% to 0.2% in August.

Canadian Dollar

The Pound Canadian Dollar (GBP CAD) exchange rate lept by over a cent on Tuesday as even another lift in oil prices was not enough to help the ‘Loonie’ repel Sterling’s advance following the UK’s CPI data.

Australian Dollar

After rising to a new one-month high against the Australian Dollar (AUD) on Tuesday, Sterling found its advance slowed during the Asian session as Westpac reported that its Australian Consumer Confidence Index jumped from 95.5 to 97.9, its highest level since May.

New Zealand Dollar

While the Pound New Zealand Dollar (GBP NZD) exchange rate was able to push higher yesterday, its advance was slowed slightly as markets reacted favourably to the latest polling data from New Zealand that suggests that the ruling National Party is just ahead in the general election.

TorFX Author: TorFX

"Our company's mission is to provide outstanding exchange rates, expert guidance and a simple, friendly service that people will want to recommend to others." – Jon Beddell (CEO). Contact TorFX for an FX Quote - UK & Europe - Australia & NZ.

You can get in touch with TorFx via email here or via the contact page.
Please note that the opinions of our authors are their own and do not reflect the opinion of Best Exchange Rates and should not be taken as a reference to buy or sell any financial product. Full Disclaimer

BER logo Best Exchange Rates - We make it Easy to Compare Exchange Rates & Fees of Banks and Currency Exchange & Payment Providers

Level 2, AMP Tower, 50 Bridge Street, Sydney, NSW 2000, Australia

Disclaimer | Copyright | Privacy Statement


Best Exchange Rates is an information only service. By browsing on the website, using our comparison tools or FX provider referral service, you are asking Best Exchange Rates to provide you with information about currency exchange products & services from multiple financial institutions.

We will try to show you a range of products & services in response to your request for information. The search results do not include all providers and may not compare all features relevant to you. In giving you product information we are not making any suggestion or recommendation to you about a particular product.

If you decide to conduct foreign exchange you will deal directly with a financial institution, and not with Best Exchange Rates. Rates and product information should be confirmed with the relevant financial institution, see our terms of use for further details.

Best Exchange Rates may receive fees or other benefits in relation to activity on the Best Exchange Rates website. Best Exchange Rates may receive remuneration for vendor referral links. Please note that the opinions of our authors are their own and do not reflect the opinion of Best Exchange Rates and should not be taken as a reference to buy or sell any financial product.

Read our Full Terms of Service


This website and its contents are the copyright of BEST EXCHANGE RATES PTY LTD © 2009-17. All rights reserved.

Any redistribution or reproduction of part or all of the contents in any form is prohibited other than the following. You may print or download contents to a local hard disk for your personal and non-commercial use only. You may copy some extracts only to individual third parties for their personal use, but only if you acknowledge the website as the source of the material.

You may not, except with our express written permission, distribute or commercially exploit the content. You may not transmit it or store it on any other website or other form of electronic retrieval system.

For more details or request distribution right please contacxt us here.