Pound Sterling
Although UK data showed retail sales had fallen over the second quarter they fell by less than expected resulting in a supported pound. According to an economic forecast compiled by economists with Barclay’s, UK manufacturing will pick up in the second quarter. To compliment the optimistic news the British currency began Friday positively, gaining on a range of its currency rivals.
The Pound is presently trading against the Euro in the region of 1.2533 and is trading against the US Dollar in the region of 1.6244
US Dollar
In light of disappointing European and Asian data releases the US dollar was able to benefit from its status as a safe haven currency and advanced against some of its major trading partners. In the hours ahead announcements from the euro-zone concerning the situation with Spain could cause the US dollar to fluctuate and if Spain requests a bailout as anticipated the market will experience extreme shifts. Any negative news from the currency bloc could see the dollar extend gains against its less stable currency competitors.
The US Dollar is presently trading against the Pound in the region of 0.6154 and is trading against the Euro in the region of 0.7694
Euro
Poor manufacturing data, a revised forecast for Italy, continued uncertainty surrounding Spain and Greece and worse than predicted economic indicators for France turned investors away from the euro and saw the 17 nation currency fall against most of its primary trading partners. Any volatility in the euro today will likely be in response to announcements made regarding whether the Spanish government will request a bailout.
The Euro is presently trading against the Pound in the region of 0.7979 and is trading against the US Dollar in the region of 1.2962
Australian Dollar
The Australian Dollar has bounced back from yesterday’s weakened position and gained against many of its main rivals. The currency responded well to news imparted by Minneapolis Fed President Narayana Kocherlakota; that until unemployment drops the central bank will hold rates at around zero. However, overall the Aussie has experienced a weekly decline falling by 0.8 per cent against its US counterpart.
The Australian Dollar is presently trading against the Pound in the region of 0.6444, is trading against the Euro in the region of 0.8076 and is trading against the US Dollar in the region of 1.0473
New Zealand Dollar
Yesterday the New Zealand dollar fell following the release of Chinese manufacturing data but today more positive Asian developments have seen it rise above 83 US cents. It seems that the influence of Apple Inc really knows no bounds. The company’s latest iphone model has caused a renewal of interest in tech stocks and boosted investor enthusiasm for higher-yielding, higher-risk assets. This rally in Asian technology company stocks gave the Kiwi the upward momentum it needed. It hit 83.05 US cents and has advanced against the pound and euro. Some analysts are predicting that if investors retain some confidence in global economic recovery the New Zealand dollar could reach 84.70 US cents.
The New Zealand Dollar is presently trading against the Pound in the region of 0.5114, is trading against the Euro in the region of 0.6404 and is trading against the US Dollar in the region of 0.8305
Canadian Dollar
After a week of ups and downs the Canadian dollar ended trade on Thursday lower than it began. The currency declined by the most for eight weeks, falling by 0.21 US cents against its main rival. Due to recent negativity surrounding the euro-zone, poor Chinese data and weakened key commodities investors have turned from the loonie and set their sights on the more assured US dollar. Some industry experts are predicting that the Canadian dollar could drop to a two week low against its US challenger.
The Canadian Dollar is presently trading against the Pound in the region of 0.6305, is trading against the Euro in the region of 0.7891 and is trading against the US Dollar in the region of 1.0256
