Yesterday’s strong retail data “was not enough to brush away the Bank of England doves, who gained confidence after Tuesday’s soft inflation data”, according to London Capital Group analyst Ipek Ozkardeskaya.
The pound’s movement against the dollar and euro in the last couple of days has mainly been dictated by events in the US and Eurozone, rather than any self-inflicted weakening. There is June’s UK public sector borrowing figures due any minute now, however, which could move the pound this morning.
Ms Ozkardeskaya added on the dollar and US equities overnight:
“The US dollar softened against the majority of G10 currencies on FBI’s decision to expand the Trump investigation to his business ties.
“The US stocks were flat on Thursday, the S&P500 stagnated after hitting a fresh all-time high on Wednesday’s session. The US stock futures lacked demand in Asia.”
Vodafone had particularly strong growth in Turkey but continues to face headwinds in India
Vodafone enjoyed first-quarter growth in all of its markets except the UK and India as service revenues rose 2.2pc on an underlying level in the three months to the end of June.
Revenues in the UK continued to fall but the rate of decline slowed as it reported a drop of 2.7pc, to €1.8bn (£1.6bn), compared to a fall of 4.8pc in the previous quarter.
Overall, group revenues were down 3.3pc, to €11.5bn, while reported group service revenues, the key measure of network sales, fell by 4.6pc.
Vodafone reported growth in service revenue in all of its European markets other than the UK.
This morning’s release has sent Vodafone to the top of the FTSE 100 leaderboard, its shares advancing 1.6pc to 228.3p.