Prior to the publication of UK growth data, which is expected to show that the British economy returned to growth in the first three months of the year, the Pound was little changed against the US Dollar and was trading slightly lower against the Euro. Sterling could post modest gains if GDP expanded by more than estimated.
GBP/EUR is trading in the region of 1.1761 and GBP/USD is trading in the region of 1.5324
With Federal Reserve policy makers preparing to deliver a speech today the US Dollar dipped against the majority of its most traded peers. Yesterday one Fed official asserted that the economy hasn’t recovered enough to warrant the central bank paring back its bond purchases at the present time. US initial jobless claims and personal consumption figures could also be responsible for ‘Greenback’ movement in the hours ahead.
USD/GBP is trading in the region of 0.6526 and USD/EUR is trading in the region of 0.7675
Although the latest figures have shown that the German economy lost 12,000 jobs in June, rather than gaining the 8,000 positions expected, the overall jobless rate held at 6.8 per cent from May’s revised level. The Euro posted modest gains against the Pound and US Dollar prior to this data release and common currency fluctuations can be expected to occur as investors process this latest news.
EUR/GBP is trading in the region of 0.8502 and EUR/USD is trading in the region of 1.3028
As a technical indicator revealed that the ‘Aussie’s recent decline may have occurred too rapidly the South Pacific currency strengthened. The Australian Dollar was also able to climb on its US peer as the ‘Greenback’ softened as speculation surrounding when the Fed will begin to taper easing continued.
AUD/GBP is trading in the region of 0.6077, AUD/EUR is trading in the region of 0.7141 and AUD/USD is trading in the region of 0.9306
New Zealand Dollar
The New Zealand Dollar climbed against several of its main rivals, posting a notable advance against the US Dollar and Pound, as a technical indicator signalled that the ‘Kiwi’s recent bearish trend may be about to reverse. The ‘Kiwi’ was also supported by data showing that business confidence in New Zealand jumped from 41.8 in May to 50.1 in June.
NZD/GBP is trading in the region of 0.5109, NZD/EUR is trading in the region of 0.6011 and NZD/USD is trading in the region of 0.7824
Yesterday the ‘Loonie’ was able to climb against its American counterpart as US growth data failed to meet expectations and the European Central Bank intimated that its fiscal policy would be accommodative for the foreseeable future. While US data will be of interest today investors will also be looking ahead to tomorrow’s Canadian growth figures.
CAD/GBP is trading in the region of 0.6252, CAD/EUR is trading in the region of 0.7353 and CAD/USD is trading in the region of 0.9581
These exchange rates were correct as of 9:25 am