On Thursday, the British pound rose in volatile trading, with the dollar lower against most currencies as investors took comfort in the Bank of England’s purchase of long-term bonds to restore market stability. .
The pound was up 1.4% to $ 1.1034. After hitting a 37-year low of $ 1.0327 three days ago, the pound rose 6.4% against the dollar.
The British currency’s recovery is partly due to the Bank of England’s move to buy bonds. On Thursday, the central bank bought £ 1.415 billion ($ 1.55 billion) in British government bonds with maturities over 20 years, the second day of a multi-billion dollar program to stabilize the market.
The pound fell early in trading Thursday, coinciding with Prime Minister Liz Terrace’s defense of the government’s tax cut budget.
On the other hand, the dollar fell against a basket of major currencies, as it fell 0.1% last time to 112.454.
The euro was up 0.4 percent against the dollar to $ 0.9767.
The data showed that economic sentiment in the euro zone fell more than expected in September, with a decline in confidence between businesses and consumers, who are also pessimistic about price developments in the coming months.
The focus of the markets was on inflation in Germany, which jumped to 10.9% this month, beating expectations that it would hit 10%.
On the other hand, the dollar rose 0.3% to Japanese yen 144.525.
The Chinese yuan outside the mainland also rose about 0.5% to 7.1280 per dollar after Reuters reported that authorities had told state-owned banks to prepare to intervene in favor of the yuan.
The risk-sensitive Aussie dollar fell 0.6% to $ 0.6483. (Reuters)
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