The Pound tumbled against its peers

foreign_exchange_rates

Pound Sterling

Despite Friday’s disappointing UK retail sales data, which saw the Pound tumble against the majority of its peers, the British currency clawed back its losses as analysts focused on the fact that the worse-than-expected result was largely due to heavy snowfall. However, Sterling has lost ground against the ‘Greenback’ this morning as the economic outlook for the UK continues to cause concern among investors. Although Rightmove released a report showing improvement in home sale prices in February investors will be looking ahead to Wednesday’s more influential jobless claims data and the publication BoE monetary policy committee minutes.

The Pound is presently trading against the Euro in the region of 1.1593 and is trading against the US Dollar in the region of 1.5461

US Dollar

In the aftermath of the G-20 meeting the US Dollar posted gains against safe haven rival the Japanese Yen. The Yen broadly softened as financial leaders pledged not to devalue their currencies in order to boost exports, a promise with allowed the ‘Greenback’ to climb 0.5 per cent. With little influential US data on the cards for the beginning of the week, and the US markets closed today, ‘Greenback’ movement is likely to occur in response to developments in the Eurozone, including today’s speeches from EU President Van Rompuy and ECB president Mario Draghi.

The US Dollar is presently trading against the Pound in the region of 0.6473 and is trading against the Euro in the region of 0.7501

Euro

Last week’s concerning GDP data for the Eurozone lead to widespread declines in the common currency. However, after the G-20 attempted to expel fears of a currency war by vowing to stop currency devaluation with the aim of boosting exports, the Euro climbed slightly on the Yen. With a flood of influential Eurozone data due for release in the days ahead significant volatility can be expected. If the figures contribute to last week’s signs of a deepening recession in the currency bloc the Euro could fall.

The Euro is presently trading against the Pound in the region of 0.8626 and is trading against the US Dollar in the region of 1.3337

Australian Dollar

With investors awaiting tomorrow’s release of the Reserve Bank of Australia’s policy minutes, ‘Aussie’ movement was tempered over the weekend, although the currency continues to trade within touching distance of a 2 ½ year low against its New Zealand counterpart. Industry experts largely expect that RBZ governor Glenn Stevens will slash the nation’s key rate to a record low and the anticipation of this, when combined with disappointing Chinese retail sales data, saw the Australian Dollar drop against its American rival for a third day. Data releases from the Eurozone and Japan will be the main causes of ‘Aussie’ movement in the hours ahead.

The Australian Dollar is presently trading against the Pound in the region of 0.6652, is trading against the Euro in the region of 0.7724 and is trading against the US Dollar in the region of 1.0298

New Zealand Dollar

The New Zealand Dollar continued to trade close to a 2 ½ year high against its Australian counterpart and was able to climb on the Yen after a report showed that service industries in the South Pacific nation expanded at a faster pace. However, the ‘Kiwi’ was prevented from enjoying further upward movement by worse-than-forecast Chinese retail sales data, which indicated slowing growth in the world’s second largest economy.

The New Zealand Dollar is presently trading against the Pound in the region of 0.5444, is trading against the Euro in the region of 0.6321 and is trading against the US Dollar in the region of 0.8426

Canadian Dollar

Home-grown economic concerns and declining commodities caused the Canadian Dollar to fall against its American rival for a second week. The ‘Loonie’ also recorded losses against the majority of its other currency rivals as poor Canadian jobs data continued to take its toll. This week’s most influential pieces of Canadian data, including consumer price index and retail sales figures, are due for release on Friday.

The Canadian Dollar is presently trading against the Pound in the region of 0.6424, is trading against the Euro in the region of 0.7446 and is trading against the US Dollar in the region of 0.9930

These exchange rates were correct as of 9:23 am

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.