The British pound fell today, following a drop in UK industrial production unexpectedly in February, the first decline in almost a year, signaling a slowdown in the economy in the first quarter of 2018.
Sterling has been one of the best performing currencies since the beginning of this year against the US dollar, rising by about 5% to levels not reached since the EU membership vote at 1.4345 before retreating and currently trading at 1.4180 levels.
The US dollar fell to a two-week low against a basket of currencies amid calm fears of a trade war, but uncertainty about military intervention in Syria has limited investor risk appetite.
The dollar index fell to its lowest level since March 28 at 89.06 during the day. On the other hand, inflation data in the United States did not help the greenback and the situation remained the same. The core CPI rose by 2.1% in March to match expectations.
The Swiss Franc was the worst performer through G10 during trading today, down by 0.3% against the euro, the lowest level since 2015 when SNB unpegged Swiss franc from the euro.
The Russian ruble has also fallen to its lowest level since 2016, as tensions with the United States rise amid new sanctions imposed on Russia in addition to the conflict in Syria. The Turkish lira fell to new record highs against the US dollar amid market concerns about monetary policy expectations and inflation as well as political tension in Russia and Syria.
