GBP Special: Breaking higher

GBP: Sterling has pushed higher this morning. After finding recent support due to a quick roll-out of vaccinations, this morning saw solid inflation figures (0.6% annualised vs 0.5% expected). Importantly, this pushed the Core Inflation number to 1.4% annualised in December, which is in contrast to November’s weak data. 

With economists and market analysts beginning to chatter about rising inflation in the medium-term, it seems that the UK may be one of the first developed nations to be displaying a re-inflationary trend.

 GBP/EUR is pushing up through 1.1300 and GBP/USD to 1.3700. 

GBP/USD has been higher in recent times, but the rebound of the USD has capped any further moves. GBP has been at the top of ranges since the beginning of 2021, and if this move signals a break higher for the currency, another. 1% or 2% could be on the cards

https://www.fxstreet.com/news/eur-gbp-plummets-to-mid-08800s-lowest-since-may-2020-202101201003