As traders await Eurozone investor confidence data, the Pound Sterling to Euro (GBP/EUR) exchange rate has softened by around -0.9%. Meanwhile, the Pound to US Dollar (GBP/USD) exchange rate has advanced by around 0.13%. This can be attributed to traders continuing to brood on the less-than-impressive US non-farm payrolls data from last Friday.
The Pound Sterling to Euro exchange rate is currently trending in the region of 1.2732.
The Pound Sterling to US Dollar exchange rate is currently trending in the region of 1.5886.
Pound (GBP) Holding Steady ahead of Employment Confidence
With a particularly sparse British economic data docket on Monday, the Pound is holding relatively steady against many of its currency rivals. The Lloyds Employment Confidence is of little consequence in terms of wider market movement but, as the solitary British data publication, may provoke movement for Sterling.
GBP/EUR Exchange Rate to Extend Losses
With improved sentiment towards the world’s second largest economy, the Euro is likely to extend gains against Sterling thanks to the strong Eurozone-Chinese trading relationship. China’s Consumer Price Index showed Chinese inflation to have held at 1.6%.
Eurozone Investor Confidence is forecast to edge slightly lower from -13.7 to -13.8. Should the data decline beyond expectations, however, the common currency could soften against the majority of its most traded currency competitors.
The Pound Sterling to Euro exchange rate has fallen to a low today of 1.2726 and reached a high of 1.2756.
GBP/USD Exchange Rate to Advance on Lack of Data
With very little data pertaining to either the UK or the US, the Pound is likely to hold its gains against the US Dollar. This can be attributed to mounting negative sentiment towards the US Dollar after Friday’s Change in Non-farm Payrolls data disappointed.
The US Labour Market Conditions Index will be of interest to those invested in the US Dollar, although it is unlikely to have a pronounced effect on the struggling North American asset.
The Pound Sterling to US Dollar exchange rate has dropped to a low today of 1.5868 and reached a high of 1.5917.
GBP/EUR Exchange Rate Edges Lower, GBP/USD Exchange Rate Holds Advance
UPDATE
The Pound Sterling to Euro exchange rate is currently trending in the region of 1.2729.
The Pound Sterling to US Dollar exchange rate is currently trending in the region of 1.5899.
Eurozone Investor Confidence printed positively having advanced from -13.7 to -11.9, despite predictions of a slight softening to -13.8. This better-than-expected result has allowed the common currency to solidify the gains made against both the US Dollar and British Pound.
GBP/EUR Exchange Rate Strengthens, GBP/USD Exchange Rate Softens
The Pound Sterling to Euro exchange rate is currently trending in the region of 1.2760.
The Pound Sterling to US Dollar exchange rate is currently trending in the region of 1.5873.
After having enjoyed healthy gains against many of its major peers, the Euro has since softened after the European Central Bank eased their covered bonds purchase in favour of expanding their asset-buying program. Purchases are probably ‘squeezing out traditional investors,’ Anne Caris, a London-based covered-bonds analyst at Bank of America Corp., said in a note to clients.
The ‘new deals confirmed the shift in the covered-bond investor base since the start of its third covered-bond purchases program with especially reduced activity from asset managers in core names,’ Caris said. ‘No matter its intentions, the ECB is crowding out investors, which could have material negative consequences in the future.’
Meanwhile, the Us Dollar has firmed up from its post-payroll bearish run. This is likely to be attributed to traders fearing that the downtrend was unjustified and caused by rate-hawks.
UPDATE
GBP/EUR Exchange Rate Gains, GBP/EUR Exchange Rate Edges Lower
The Pound Sterling to Euro exchange rate is currently trending in the region of 1.2762.
The Pound Sterling to US Dollar exchange rate is currently trending in the region of 1.5842.
Sterling has managed to strengthen against the majority of its most traded currency competitors on Tuesday morning. This is as a result of better-than-expected retail sales. The BRC Sales Like-for-Like was forecast to rise from -2.1% to -0.5%, but the actual result strengthened to 0.0%.
David McCorquodale, head of retail at KPMG, said in a BRC statement; ‘Promotions remained rife in the grocery sector, leaving it with the unenviable moniker of the worst performing sector. The silver lining for the sector is that the three-month average like-for-likes, whilst still negative, were not as bad as in September which will be welcome relief in the midst of negative news.’
Meanwhile, the Euro is holding comparatively steadily due to a complete absence of domestic data to provoke volatility.
The US Dollar has generally strengthened as traders feared the bearish run was unjustified. However, the uptrend has slowed somewhat amidst fresh anxieties of an unwarranted upsurge.
Pound Sterling (GBP) Exchange Rates
[table width=”100%” colwidth=”50|50|50|50|50″ colalign=”left|left|left|left|left”]
Currency, ,Currency,Rate ,
Pound,
,US Dollar,1.5904,
Pound,,Euro,1.2737,
Pound,,New Zealand Dollar,2.0357,
Pound,,Australian Dollar,1.8336,
US Dollar,,Pound,0.6286,
New Zealand Dollar,,Pound,0.4912,
Euro,,Pound,0.7850,
Australian Dollar,,Pound,0.5454,
[/table]
