The Pound has fallen to a ten-week low against the US Dollar as economists await the release of data that is expected to show that the UK economy expanded in the first quarter of the year. Against the Euro, Sterling was close to a one-month low. The currency wasn’t helped by the Federal Reserve Chairman’s speech to congress that confirmed that the US will continue with its monetary easing policies.
GBP/EUR is trading in the region of 1.1687 and GBP/USD is trading in the region of 1.5057
The ‘Greenback’ advanced against most of its most traded peers after Federal Reserve Chairman Ben Bernanke said that the Central Bank could soften its monthly bond buying programme over the next few months if it is confident of sustained gains in the US economy. Against the Euro, the Dollar fell to a one-week low after Bernanke revealed that the US economy remains hampered by high unemployment and budget cuts.
USD/GBP is trading in the region of 0.6643 and USD/EUR is trading in the region of 0.7771
The Euro strengthened against the US Dollar after the latest German Purchasing Managers Index reported better-than-expected manufacturing activity in the Eurozone’s biggest economy. Germany’s PMI increased to 49.0 in May after coming in at 48.1 in April. A figure above fifty means growth. The French flash manufacturing Purchasing Managers’ Index (PMI) advanced to 44.5 in May, from 44.4 recorded in April, while a reading of 44.7 was expected.
EUR/GBP is trading in the region of 0.8548 and EUR/USD is trading in the region of 1.286
The ‘Aussie’ continued its month-long decline after the comments made by Federal Reserve Chairman Ben Bernanke. The currency was also weakened by weaker-than-expected manufacturing data out of China. As a result the ‘Aussie’ fell to an eleven-month low against the US Dollar.
AUD/GBP is trading in the region of 0.6398, AUD/EUR is trading in the region of 0.7485 and AUD/USD is trading in the region of 0.9631
New Zealand Dollar
The ‘Kiwi’ fell to an eight-month low after data out of China showed that the world’s second largest economy saw its manufacturing output shrink in May. HSBC’s purchasing managers’ index showed a preliminary reading of 49.6 in May, where a reading below 50 indicates contraction, adding to signs China’s economy is slowing.
NZD/GBP is trading in the region of 0.5335, NZD/EUR is trading in the region of 0.6241 and NZD/USD is trading in the region of 0.8030
The ‘Loonie’ fell to its lowest level in a year against its US relation after Federal Reserve Chairman Ben Bernanke said that the Central Banks monthly bond purchases may be reduced if the economy shows sustained growth. The currency was also not helped by weaker-than-expected retail sales data and a decline in the price of Crude oil, Canada’s biggest export.
CAD/GBP is trading in the region of 0.6404, CAD/EUR is trading in the region of 0.7492 and CAD/USD is trading in the region of 0.9640
These exchange rates were correct as of 9:20 am