The Pound to Dollar exchange rate ros to fresh six-month highs on Tuesday, helping GBP/EUR recover further off recent 18-month lows, with some on the sell side citing reported progress in trade talks with the US.

US Treasuries and Sterling Gilts fell across the curve ahead of the weekend in likely poor liquidity conditions and price action that coincided with an intraday recovery of the Chinese Renminbi from beneath the bottom of its minimum permissible trading bands and some likely intervention from Beijing.

The Pound to Dollar exchange rate rallied sharply on Thursday but GBP/EUR fell heavily as the Euro soared amid a continued unravelling of US equity markets, which might reflect a re-evaluation among investors of the stratospheric, and perhaps now indefensible, valuations that have long prevailed across the pond.

Pound Sterling recovered prior losses from the US Dollar and Euro overnight on Thursday after the White House announced a 90-day delay to the implementation of its new global import tariff, which could see GBP/EUR back around 1.1720 in the session ahead as GBP/USD recovers the 1.29 handle.