Pound Sterling Strengthening

Pound Sterling

The Pound has strengthened against the US Dollar ahead of the release of a report that economists said will show that mortgage approvals rose last month, as a result Sterling is set for its first solid rise against the US currency for the first time in four weeks. Mortgage approvals are set to rise to 32,000 in October up from 31,175 a month earlier. The Pound gained by 0.2% against the Dollar.

The Pound is presently trading against the Euro in the region of 1.2349 and is trading against the US Dollar in the region of 1.5944

US Dollar

Risk taking among investors following the positive international economic data caused a mixed day for the US Dollar yesterday. The ‘Greenback’ strengthened against the Japanese Yen but weakened against the Euro and Pound.  Today, a lack of economic news out of the US means that any dollar volatility will likely come as a result of international data.

The US Dollar is presently trading against the Pound in the region of 0.6269 and is trading against the Euro in the region of 0.7759

The Euro

The Euro has strengthened to its highest level since November 2nd and hit a two-week high against the US Dollar after an industry report signalled that China’s manufacturing expanded in November, adding to evidence that the world’s second-largest economy is  recovering  at a quicker pace. The single currency increased against 16 of its most traded peers after the latest purchasing manufactures indexes showed that the Euro zone contracted at a slower pace than predicted.

The Euro is presently trading against the Pound in the region of 0.8080 and is trading against the US Dollar in the region of 1.2888

Australian Dollar

The ‘Aussie’ remained trading upwards as the currency continued to ride the crest of optimism generated by yesterday’s Chinese economic data. Economic strength in China, Australia’s biggest trading partner, would also reduce the likelihood of a further cut in interest rates by the Reserve Bank of Australia, economists said.

The RBA left interest rates on hold in November, saying the world economy was starting to show signs of improvement.

The Australian Dollar is presently trading against the Pound in the region of 0.6519, is trading against the Euro in the region of 0.8068 and is trading against the US Dollar in the region of 1.0379

New Zealand Dollar

The ‘Kiwi’ was relatively unchanged because of thin trading due to holidays in the US and Japan. The better-than-expected Chinese economic data saw the currency rise against the majority of its most traded peers. The markets are taking a wait and see approach for the outcome of Monday’s European leaders meeting on the situation for Greece and the EU budget.

The New Zealand Dollar is presently trading against the Pound in the region of 0.5121, is trading against the Euro in the region of 0.6341 and is trading against the US Dollar in the region of 0.8170

Canadian Dollar

The ‘Loonie’ has declined against the US Dollar as retail sales out of the country were weaker than expected, lessening the currency’s appeal. The currency also declined against the majority of its most-traded peers. Retail sales increased by 0.1% its third consecutive gain as increases in car sales was offset by declines at department stores and petrol stations. Economists were predicting an increase of 0.5%.

The Canadian Dollar is presently trading against the Pound in the region of 0.6284, is trading against the Euro in the region of 0.7780 and is trading against the US Dollar in the region of 1.0022

 

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.