Pound remained little changed

Pound Sterling

After yesterday’s advance against the Euro the Pound remained little changed against the common currency and the US Dollar as investors await a Bank of England report. The report, scheduled for release tomorrow, is expected to show a forth month of increases for mortgage approvals. A lack of UK economic news today means that Sterling fluctuations will likely be the result of developments in Europe and the US.

The Pound is presently trading against the Euro in the region of 1.2378 and is trading against the US Dollar in the region of 1.6009

US Dollar

Following the release of better-than-forecast Core Durable Goods Orders the ‘Greenback’ was able to reverse yesterday’s bearish trend and post moderate gains against several of its most traded rivals, recording particular advances against the Japanese Yen. Movement in the US Dollar could be triggered today after the release of US New Home Sales figures. A better-than-expected result could see the currency continue to gain on its Japanese counterpart.

The US Dollar is presently trading against the Pound in the region of 0.6248 and is trading against the Euro in the region of 0.7740

Euro

Although Eurozone finance ministers finally came to terms over Greek bailout funds the Euro dropped against its safe-haven competitors the US Dollar and Japanese Yen. Despite a more optimistic outlook for Greece disappointing economic data for the 17-nation currency bloc kept confidence in Eurozone economic recovery low, causing the common currency’s decline. Several pieces of economic data could cause volatility in the Euro today, particularly German Consumer Price Index figures. If there should be further signs that the largest economy in the Eurozone is struggling the Euro could see additional declines over the course of trade today.

The Euro is presently trading against the Pound in the region of 0.8078 and is trading against the US Dollar in the region of 1.2931

Australian Dollar

As a report due for release tomorrow is expected to show a slowdown in Australian capital expenditure growth the ‘Aussie’ held on to the declines recorded yesterday. If the speculation proves accurate it will weaken the outlook for both the Australian economy and the South Pacific currency, potentially pushing the ‘Aussie’ lower against several of its most traded peers. The Australian Dollar also fell for a third day against the safe-haven Yen as the likelihood of the Reserve Bank of Australia cutting rates on December 3rd increased.

The Australian Dollar is presently trading against the Pound in the region of 0.6533, is trading against the Euro in the region of 0.8084 and is trading against the US Dollar in the region of 1.0460

New Zealand Dollar

Concerns that US policy makers may be unable to prevent the looming fiscal cliff kept investors cautious and left the ‘Kiwi’ little changed from yesterday. Movement in the New Zealand Dollar was also tempered prior to tomorrow’s Australian capital expenditure statistics. Volatility could also be triggered tomorrow by New Zealand’s Business Confidence figures for November.

The New Zealand Dollar is presently trading against the Pound in the region of 0.5134, is trading against the Euro in the region of 0.6358 and is trading against the US Dollar in the region of 0.8217

Canadian Dollar

After achieving a near three-week high against the US Dollar the Canadian Dollar fell in light of mounting concerns that a budget showdown in Washington will throw US economic recovery off course. A drop in crude oil prices, Canada’s biggest export, also contributed to the ‘Loonie’s decline. Of interest today are US economic data releases, including the Beige Book Economic Survey.

The Canadian Dollar is presently trading against the Pound in the region of 0.6289, is trading against the Euro in the region of 0.7785 and is trading against the US Dollar in the region of 1.0067

 

Richard Martin
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After working in business development for a major UK currency brokers for several years, Richard left Britain to help set up the company’s Australian office and now lives and works in Queensland; making the most of his new Down-Under lifestyle.