Sterling later slipped to an almost five-week low against the US Dollar

indian_rupees

Pound Sterling

Although the Pound broadly strengthened yesterday following the publication of far stronger than forecast UK services PMI, Sterling later slipped to an almost five-week low against the US Dollar. The British currency was little changed against the Euro as investors speculate on the possible outcome of the Bank of England’s first policy meeting with Mark Carney at the helm.

GBP/EUR is trading in the region of 1.1748 and GBP/USD is trading in the region of 1.5255

US Dollar

While yesterday’s positive jobless claims figure bolstered the US Dollar, the safe-haven currency weakened slightly as industry experts considered whether tomorrow’s US non-farm payrolls report will be strong enough to push the Federal Reserve into tapering stimulus. With North American markets closed for July 4th celebrations ‘Greenback’ movement is likely to be fairly muted today.

USD/GBP is trading in the region of 0.6555 and USD/EUR is trading in the region of 0.7701

Euro

The ongoing political drama in Portugal, and expectations surrounding today’s European Central Bank rate decision, weighed on the Euro overnight. The common currency is currently trading in the region of a month low against the US Dollar and has lost ground against several of its most traded peers. Euro volatility is expected to remain high today.

EUR/GBP is trading in the region of 0.8513 and EUR/USD is trading in the region of 1.2987

Australian Dollar

After dropping to an almost three-year low against the US Dollar in the aftermath of the Reserve Bank of Australia’s latest policy meeting, the ‘Aussie’ was able to recover some ground during local trade amid concern that its decline had occurred too rapidly. The South Pacific currency was trading more strongly against several of its major rivals despite Australian building approvals falling by more-than-forecast in May.

AUD/GBP is trading in the region of 0.5974, AUD/EUR is trading in the region of 0.7016 and AUD/USD is trading in the region of 0.9097

New Zealand Dollar

With domestic news thin on the ground the New Zealand Dollar experienced relatively little movement during local trade. The commodity-driven currency dipped modestly in the North American session as Eurozone woes sapped risk-appetite. Today’s UK and Eurozone central bank decisions are likely to be the main catalysts of market movement.

NZD/GBP is trading in the region of 0.5107, NZD/EUR is trading in the region of 0.5989 and NZD/USD is trading in the region of 0.7782

Canadian Dollar

Although a surge in the price of crude oil, a major Canadian export, helped the ‘Loonie’ advance on its fellow commodity-driven currencies, news that Canada had posted a merchandise trade deficit for another month (extending its longest streak for 25 years) pushed the Canadian Dollar lower against its American counterpart. Eurozone news may be the main cause of ‘Loonie’ fluctuations today.

CAD/GBP is trading in the region of 0.6233, CAD/EUR is trading in the region of 0.7323 and CAD/USD is trading in the region of 0.9509

These exchange rates were correct as of 9:10 am

Richard Martin
This post was written by
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.