The British Pound saw gains, keeping last week’s good performance. The resistance it now finds is dependent on the investors’ reaction towards growing fears of a no-deal Brexit. As traders await more information on the UK’s economy, the currency will be relying on coronavirus statistics and the government’s plan to reopen the economy.

However, weak retail sales figures challenged the British Pound. BRC’s chief executive, Helen Dickinson explained, “Sales in May demonstrated yet another month of struggle for retailers across the country, despite an improvement on the previous month.”

The U.S. Dollar fell against an upbeat market mood which hindered traders seeing it as the safe-haven currency. Protests in the U.S. eased a bit over the weekend, slightly cutting down on the losses. 

The trade war deal with China and the protests across the country will be weighing on the currency’s performance. 

The GBP/USD exchange rate fell to $1.26 dropping by -0.6% after the U.S. NFIB Business Optimism Index for May beat predictions, going up from 90.9 to 94.4.

Bill Dunkelberg, NFIB’s chief economist explained, “As states begin to reopen, small businesses continue to navigate the economic landscape rocked by Covid-19 and new government policies.”

“It’s still uncertain when consumers will feel comfortable returning to small businesses and begin spending again, but owners are taking the necessary precautions to reopen safely.”