BLBG: Sell the Euro Against the Pound on U.K. Economic Data, RBC Says
Investors should sell the euro against the pound amid stronger-than-expected U.K. economic data, according to RBC Capital Markets.
“Expect pound to rally as London liquidity kicks in,” Adam Cole, head of global currency strategy in London, wrote in a report today. The BRC report was “a striking improvement. The RICS house price index was also much better than expected. Should the March industrial production data surprise significantly to the upside, the main implication would be a possible upward revision to the first estimate of first-quarter GDP, which would also be pound positive,” Cole said.
The pound weakened 0.2 percent to 90.02 pence per euro as of 7:09 a.m. in London.
