Pound Sterling Advances Despite a Dovish Tenreyro

Two of the UK's most recognisable high street banks have come out and said they are not expecting the British Pound to appreciate in value from current levels against the Euro and Dollar.

Settled gas markets and rising equities provided the kind of optimistic investor backdrop the British Pound tends to benefit from.

The outlook for the British Pound might be mixed, but the UK currency is not in the state of crisis a host of mainstream media outlets have been suggesting of late.

"Interestingly even more cleanly for EUR than GBP. We suspect this is linked to the fact that GBP is still supported by the possibility of BoE rate hikes in coming months," - Credit Suisse.

The British Pound advanced against the majority of its peers at the start of the new week, fuelled by weekend comments from members of the Bank of England.

"We also continue to believe UK’s attractive investment attributes and longer-term GBP undervaluation will act as a strong anchor for the pound." - Barcalys.