The Pound Sterling to Canadian Dollar (GBP/CAD) exchange rate tumbled by around -0.39% on Friday afternoon.
After British factory output slowed, the Pound Sterling softened against the majority of its most traded currency rivals. The Canadian Dollar, meanwhile, is generally trending higher against many of its peers as a result of tracking the US Dollar surge. The advance has been sluggish, however, as falling oil prices anchor ‘Loonie’ (CAD) gains.
The Pound Sterling to Canadian Dollar exchange rate is currently trending in the region of 1.8021.
Pound Sterling (GBP) Exchange Rate Softens on UK Data
In general, British data produced a mixed-bag of results on Friday. Net Lending to Individuals increased from £2.6 billion to £3.3 billion and Bank of England Consumer Credit advanced from £1087 million to £1252 million. Mortgage Lending also improved having increased from £1.6 billion to £2.10 billion. However, The Manufacturing PMI declined from 53.5 to 52.5 and Mortgage Approvals ticked lower from 59,430 to 59,030.
Speaking about the UK manufacturing print, Rob Dobson, Senior Economist at Markit stated; ‘The latest survey provides further evidence of the ongoing slowdown in the UK manufacturing sector, with output and new order growth easing to their second-weakest rates during the past year-and-a half.’
The Pound Sterling to Canadian Dollar exchange rate has dropped to a low today of 1.8030.
Canadian Dollar (CAD) Exchange Rate Ticks Higher despite Oil Price Decline
Although oil prices are headed for their sixth-consecutive week of declination, the Canadian Dollar edged higher against many of its major peers. This is partly due to a surging US Dollar as its Northern cousin tracks gains. Additional gains are as a result of market volatility as investors scramble to make up for lost trade during the holiday period.
The Pound Sterling to Canadian Dollar (GBP/CAD) Exchange Rate Forecast to Trend Lower
Should the Canadian manufacturing PMI print positively on Friday afternoon, the Canadian Dollar will continue its advance against the Pound. With that being said, the Pound has the potential for recovery if the Canadian data prints below expectations.
The Pound Sterling to Canadian Dollar exchange rate has reached a high today of 1.8124.
