FX Updates
Stable Market Minute - 9th February 2026: Sterling Charts Its Course
Sterling Charts Its Course - the Market Minute from Alistair at Stable.
Last week was marked by significant volatility and uncertainty in global markets. The crypto sector faced another major sell-off, and several US tech stocks saw declines, leading to a downturn in global indexes. Amidst this turbulence, GBP/USD is trading slightly above 1.36, continuing a steady upward trend over the past two years. The currency previously hit a low around 1.22 but has since climbed, reaching a peak near 1.3850. This upward movement is influenced by broader market dynamics and a current trend above the 100- and 200-day moving averages.
In contrast, GBP/EUR tells a different story. After trading above 1.16, a significant gain for the pair, it has now dropped below important moving averages to just over 1.1450. This decline can be partially attributed to the Bank of England's recent decision, where a closer-than-expected 5-4 vote maintained the interest rate. Market expectations now lean towards a potential rate cut at the next meeting, contributing to the pound's precarious position. There's a possibility of testing lows around 1.13 or 1.12, reminiscent of last year's end.
This week, the market anticipates several key economic data releases. US retail sales are due Tuesday, followed by the unusual scheduling of non-farm payroll data on Wednesday. UK GDP figures will be released Thursday, with US inflation data concluding the week on Friday.
Looking for more insights?Check out Stable's'Planning for 2026'guide for more practical tips and actionable analysis to help you get a jump on the year ahead.