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Forex Trading Reviews & News 
By: Barbara Zigah
The U.S. Dollar rose to a new 9-month peak versus the struggling Pound Sterling in Asian trading today, with the British Pound also trading down against the Japanese Yen. The Pound Sterling was trading at $1.5129 at one point in the day’s session, a 9-month low; this year alone, it has lost better than 6% against the greenback. Versus the Japanese Yen, the Pound traded at 134.50 Yen, its lowest price in nearly a year.
Market players and analysts blame political uncertainty following the inconclusive results of a recent opinion poll in the U.K. which suggested that the Labour Party may be able to retain its position as the biggest party following the general election, but doubts remain as to whether it will have a Parliamentary majority, the lack of which would hinder the decision-making process and perhaps undermine an already fragile recovery. This week, the Bank of England will hold a rate-setting meeting, and analysts fully expect rates to remain at the current .5%. One trader in Japan made a comment that the U.K.’s monetary policy has become clear, and that is toward monetary loosening. The U.S.’s policy, however, appears to be the polar opposite given the slight improvement in recent U.S. economic data. To that end, the U.S. Dollar Index, a measure of the U.S. currency’s value versus other major currencies, rose .2% to trade at 80.52 .DXY.
