While the Pound strengthened against peers like the Euro on the expectation that the UK’s manufacturing sector expanded in October, the British asset experienced modest movement as PMI came in below estimates. Today’s US news could inspire additional GBP/USD volatility.
GBP/EUR is trading in the region of 1.1827 and GBP/USD is trading in the region of 1.6007
With economists expecting today’s US manufacturing data to show that the sector expanded in October, the ‘Buck’ largely retained recent gains against the majority of its most traded rivals. However, the US Dollar did fluctuate against Sterling ahead of the publication of UK manufacturing PMI.
USD/GBP is trading in the region of 0.6248 and USD/EUR is trading in the region of 0.7390
The Euro remains broadly softer having posted widespread declines in response to yesterday’s shock drop in Eurozone inflation. Poor Greek manufacturing figures also kept the common currency trading in the region of a two-week low against its US counterpart.
EUR/GBP is trading in the region of 0.8457 and EUR/USD is trading in the region of 1.3537
Stronger-than-anticipated manufacturing data for Australia and China boosted the ‘Aussie’ during local trading and helped the South Pacific asset trim its 5-day decline against the US Dollar.
AUD/GBP is trading in the region of 0.5920, AUD/EUR is trading in the region of 0.7001 and AUD/USD is trading in the region of 0.9477
New Zealand Dollar
Positive Chinese manufacturing data and better-than-forecast reports from Australia lent the New Zealand Dollar some support overnight, but the ‘Kiwi’ continued to feel the pressure following the RBNZ’s comments regarding the currency’s strength potentially delaying a rate increase.
NZD/GBP is trading in the region of 0.5160, NZD/EUR is trading in the region of 0.6117 and NZD/USD is trading in the region of 0.8274
While the ‘Loonie’ advanced on the Pound yesterday as Canadian GDP data came in slightly above forecasts, the commodity driven asset was still struggling against its US counterpart ahead of the release of US manufacturing data. An absence of Canadian news could limit ‘Loonie’ movement before the weekend.
CAD/GBP is trading in the region of 0.5995, CAD/EUR is trading in the region of 0.7091 and CAD/USD is trading in the region of 0.9593
These exchange rates were correct as of 9:40 am