British Pound #Cable $GBPUSD retesting all time low established 37 years ago pic.twitter.com/1yQPzcPPqU
— Peter Brandt (@PeterLBrandt) September 26, 2022
Today’s Chart of the Day was shared by Peter Brandt (@PeterLBrandt). It’s a quarterly candlestick chart of the Pound vs. the US Dollar over the past five decades. Fun fact; this currency pair got its nickname ‘Cable’ from the transatlantic cable installed in the mid-1800s to transmit the exchange rate between New York and London. Anyways, It tumbled to its lowest level since 1985 today. It breached the all-time lows intraday, but it managed to close above it. The Pound is the 3rd largest component in the US Dollar Index, which closed at a fresh 20-year high today. Dollar strength has been a major headwind for risk assets all year, and we’re seeing that trend accelerate.