GBPCHF Chart Technical Outlook shows a similar picture. Investors’s concerns about the global economy are weighing on the Sterling, which is also suffering on the back of the social unrest in some of the UK’s main cities.
The positive impact of the Labour Party’s large victory in the elections has worn off. In the UK, business activity is stronger than in the EU, but unemployment accelerated in May and June, and retail consumption has deteriorated. This suggests that the economy is losing steam, which is likely to add pressure on the BoE to start cutting rates, probably in September.
