SendMoney.org.uk

Compare exchange rates, send money abroad and online

Tue 25 Jun 2019 19:02GMT

Pound (GBP) Climbing Following Upbeat PMI, ?Aussie? (AUD) Tumbling, ?Buck? (USD) Awaits Data

Published: 3 Sep at 1 PM Tags: Euro, Dollar, Pound Sterling, America, UK, Eurozone, Australian Dollar, New Zealand Dollar, Canadian Dollar, Australia, New Zealand, USA, Canada, China, Russia, South Africa,

Pound (GBP)

The Pound (GBP) is presently trading at 1.6561 against the US Dollar (USD), slightly lower than yesterday when the US market was closed for the Labour Day holiday. The UK has seen the release of the Markit Manufacturing PMI, which was expected to contract in August to attain 61.5, less than July’s 62.4; however, the published figure managed to attain 64.0. Wednesday however will bring with it the release of Composite and Services PMI, which is also expected to lessen with Services data forecast to attain 58.5 in August, down from the 59.1 in July.

Euro (EUR)

The Euro (EUR) is trending at 1.3122 in the currency market versus the US Dollar (USD) and at 0.7921 against the Pound (GBP). The Euro is trading ahead of the European Central Bank’s (ECB) meeting on Thursday which is shrouded in uncertainty at the present time. The expectation that new policy measures will be introduced is strong; however, it is unlikely that any major shifts will be introduced this week. Furthermore the Euro is trading amid the conflict between Russia and Ukraine, and the effects such geopolitical tensions are causing. Expert in the field Lutz Karpowitz stated: ‘There are many reasons to continue selling the Euro.’

US Dollar (USD)

The US Dollar has reached highs of 0.6042 against the Pound (GBP) today thus far, with the potential to gain more following the publication of highly influential ISM Manufacturing figures, which are used alongside the ISM Prices Paid help to measure the labour conditions and sentiment toward inflation. Following this will be the release of Construction Spending and ISM Prices Paid; whilst Construction Spending is expected to grow by 1.0% in July month-on-month in comparison to June’s contraction by 1.8%, ISM Prices Paid figures are forecast to fall from the 59.5 attained in July to 58.8.

Canadian Dollar (CAD)

The Canadian Dollar (CAD) will see the release of Canadian Manufacturing PMI today, whilst Wednesday will see the publication of the Bank of Canada’s Rate Decision which is presently forecast to remain at 1.00%, the benchmark where it has been stagnant for the latter four years. Whilst the Federal Reserve talks of raising interest rates, the Bank of Canada seems likely to maintain their low rates in the near future. Governor for the Bank of Canada Steven Poloz stated: ‘The main thing people should understand is that our policy is quite capable of being fully independent, as it has been these past few years.’ The ‘Loonie’ is currently attaining 0.5539 versus the Pound (GBP) and 0.9180 against the US Dollar (USD).

Australian Dollar (AUD)

The Australian Dollar (AUD) is trading lower following the statements issued from the Reserve Bank of Australia (RBA) regarding the reasons to maintain historically low interest rates at 2.50%. The Governor for the RBA Glenn Stevens, has voiced concerns about rising Australian house prices and the remainder of any slack in the Australian job market, which as a result has seen the ‘Aussie’ slump. Furthermore, poor Chinese manufacturing figures have highlighted potential weakness for the Australian Dollar; forex expert Matt Sherwood stated: ‘[Monday’s] China data indicated the world’s second largest economy is facing pressure from both weak domestic demand, due to weak real estate activity and business investment.’ The Australian Dollar has sunk to 0.9300, against the US Dollar (USD) losing 0.37 of a cent today.

New Zealand Dollar (NZD)

The New Zealand Dollar (NZD) is presently trending slightly lower at 0.8348 versus the US Dollar (USD), following weak Chinese Manufacturing PMI which could have an effect on the New Zealand economy as their largest trading partner. Industry expert Peter Cavanaugh stated that the data ‘was all uniformly ghastly and therefore everybody is in the same boat... They are waiting for the US PMI to see how it stands up.’

South African Rand (ZAR)

The US Dollar (USD) is presently trading up against the South African Rand (ZAR) at 10.7150 on Tuesday, ahead of Wednesday’s South African Manufacturing PMI on Wednesday which is expected to attain 46.63 in August, in comparison to July’s 45.9. The Rand may also see some fluctuation from Friday’s release of Foreign Exchange Reserves, in an otherwise quiet week by way of data publications.
As of Wednesday, 3rd September 2014, the Pound Sterling currency rates mentioned within this news item were as follows:

GBP EUR exchange rate was 1.2518, GBP USD exchange rate was 1.6463, GBP AUD exchange rate was 1.762, GBP NZD exchange rate was 1.9777, GBP CAD exchange rate was 1.7926, GBP CNY exchange rate was 10.1099, GBP RUB exchange rate was 60.8517, and GBP ZAR exchange rate was 17.5822.
Patrick James About Author: (289 Posts)Patrick completed his economics degree just as the global financial crisis struck in 2008. In the intervening years Patrick has made his mark, climbing to a prominent position within a large financial services provider. As part of his role Patrick uses his expertise to advise companies of the best ways to safeguard against currency risk.

Live Exchange Rates