Published: 14 Oct at 5 PM Tags: Euro, Dollar, Pound Sterling, America, UK, Eurozone, Australian Dollar, New Zealand Dollar, Canadian Dollar, Australia, New Zealand, USA, Canada, China, Germany,
Pound Sterling GBP
With the pace of UK inflation sliding to a five-year low in September, the Pound posted extensive and widespread declines against the majority of its currency counterparts. The report supports the case for the Bank of England leaving interest rates at record lows for the foreseeable future and as such has seriously undermined demand for the British asset. If tomorrowâ€™s UK average weekly earnings numbers also fall short, the Pound could touch fresh lows against rivals like the Euro and US Dollar.
US Dollar USD
A lack of US data and concerns that the European economic recovery is flagging bolstered the US Dollar on Tuesday. The â€˜Greenbackâ€™ recovered ground against almost all of its currency counterparts and registered a sizable 0.7% gain against a floundering Pound. Tomorrowâ€™s US Advance Retail Sales report could take the wind out of the US Dollarâ€™s sales if it shows the decline expected.
Although the Euro was able to advance on a seriously struggling Pound, the Euro softened against almost all of its other currency rivals following the release of the ZEW economic sentiment surveys for Germany
and the Eurozone. With confidence in the currency bloc and its largest economy sliding, the Euro fell by over 0.3% against the US Dollar.
Australian Dollar AUD
Australian Business Confidence and Conditions reports may have fallen short on Tuesday, but the news that the Peopleâ€™s Bank of China
took action to lower borrowing costs and boost domestic growth prevented Australian Dollar losses. The South Pacific currency closed out the local session trending in a stronger position against most of its currency counterparts.
The New Zealand Dollar tracked the â€˜Aussieâ€™ higher as Chinaâ€™s better-than-forecast trade data and the PBOC decision to lower the 14-day repo rate increased the appeal of commodity-driven currencies.
Canadian Dollar CAD
While Canadian data was lacking on Tuesday, the â€˜Loonieâ€™ advanced against the Pound after the UKâ€™s inflation report was published and was holding its own against the US Dollar. Wednesdayâ€™s Canadian Existing Home Sales report could spark Canadian Dollar movement.
As of Tuesday, 14th October 2014, the Pound Sterling currency rates mentioned within this news item were as follows:
GBP EUR exchange rate was 1.2567, GBP USD exchange rate was 1.5892, GBP AUD exchange rate was 1.8246, GBP NZD exchange rate was 2.0287, GBP CAD exchange rate was 1.796, and GBP CNY exchange rate was 9.7345.