Ahead of the release of a UK public finance report the Pound was heading for a second weekly gain against the US Dollar but was little changed against the Euro. Economists are expecting the report to show that Britain’s budget deficit narrowed in June from the same period of the previous year.
GBP/EUR is trading in the region of 1.1607 and GBP/USD is trading in the region of 1.5241
Overnight the US Dollar declined slightly against a broadly strengthening Yen and fell against several of its other currency counterparts despite Moody’s Investor Service raising the US outlook to stable from negative. With Federal Reserve Chairman Ben Bernanke dampening expectations for a reduction in US quantitative easing the ‘Greenback’ has softened this week and a measure of calm has returned to markets.
USD/GBP is trading in the region of 0.6563 and USD/EUR is trading in the region of 0.7615
The Euro was holding steady against its major peers this morning and was relatively unaffected by a report showing an unexpected stagnation in German producer prices. In a light news day Euro fluctuations may be limited as the weekend approaches.
EUR/GBP is trading in the region of 0.8612 and EUR/USD is trading in the region of 1.3128
Ahead of next week’s Australian inflation report the ‘Aussie’ was able to post its first five-day gain against its US rival for nearly a month. The Australian Dollar was supported by further hints that the Federal Reserve has no intention of reducing its current level of stimulus in the near future. This week’s 1.3 per cent advance on the ‘Greenback’ is the Australian Dollar’s largest since March.
AUD/GBP is trading in the region of 0.6022, AUD/EUR is trading in the region of 0.6984 and AUD/USD is trading in the region of 0.9173
New Zealand Dollar
During the local session the New Zealand Dollar climbed modestly against its American counterpart, taking the ‘Kiwi’s weekly gain to 1.7 percent. The South Pacific was supported by the news that credit card spending in New Zealand surged by 5.4 per cent in June, year-on-year.
NZD/GBP is trading in the region of 0.5197, NZD/EUR is trading in the region of 0.6020 and NZD/USD is trading in the region of 0.7915
Rising crude oil prices and positive US employment data helped the Canadian Dollar strengthen prior to the publication of Canadian inflation figures. Further ‘Loonie’ movement can be expected in the hours ahead.
CAD/GBP is trading in the region of 0.6331, CAD/EUR is trading in the region of 0.7345 and CAD/USD is trading in the region of 0.9649
These exchange rates were correct as of 9:30 am