Foreign Exchange Rates : Currency Predictions - GBP, USD, EUR, AUD, NZD, CAD

21 Apr 2011 at 4 PM - Written by John Cameron

STORY LINK Foreign Exchange Rates : Currency Predictions - GBP, USD, EUR, AUD, NZD, CAD

POUND STERLING

The Pound enjoyed a rare day of gains almost across the board today, following better than expected Retail Sales figures for March. This morning’s Public sector borrowing figures came in lower than expectations, providing further assistance for Sterling. NEAR-TERM OUTLOOK – NEUTRAL.


US DOLLAR – The Pound Dollar exchange rate (GBP/USD) is 1.6569

The Dollar has been friendless in the markets in the latter part of this week, seeing GBP USD and EUR USD rates rallying to their highest levels since December 2009 on the day. This afternoon’s worse-than-expected US house price survey heaped further pressure on the parlous Greenback. NEAR-TERM OUTLOOK – NEUTRAL TO NEGATIVE.


EURO – The Pound Euro exchange rate (GBP/EUR) is 1.1361

Euro data was thin on the ground today, so levels for the single currency were determined by movements elsewhere. With the world’s most liquid pair, EUR USD, climbing to a 16 month high, the Euro was dragged forward against some other currencies, in the absence of major risk events. NEAR-TERM OUTLOOK – NEUTRAL TO POSITIVE.


AUSTRALIAN DOLLAR – The Pound Australian Dollar exchange rate (GBP/AUD) is 1.5419

Australian producer price inflation figures released during today’s Asian session, came out higher than expected, leading investors to upgrade their expectations for an RBA rate hike in the short to medium term. With gold prices breaking to a new record high today and equities markets pointing to a buoyant global appetite for risk, the Aussie has a fair wind behind it. NEAR-TERM OUTLOOK – POSITIVE.


NEW ZEALAND DOLLAR – The Pound New Zealand Dollar exchange rate (GBP/NZD) is 2.0664

The Kiwi has performed in a similar vein to its Australian sister currency on the day, climbing to new highs against the Greenback, as risk appetite in global markets continues to surge. The NZ consumer confidence survey for April came out better than anticipated, but still failed to register a positive reading. The RBNZ Interest Rate decision, which is announced late on Wednesday night UK time, will cause significant movement if the central bank alters interest rates from their current 2.50% level. NEAR-TERM OUTLOOK – NEUTRAL.


CANADIAN DOLLAR – The Pound Canadian Dollar exchange rate (GBP/CAD) is 1.5764

February’s Canadian Retail Sales figures, which were released this afternoon, came in slightly lower than expected, causing the CAD to finish the week on the back foot against the other majors. The Canadian Dollar has leaked support following its recent highs and if next Friday’s key monthly GDP figures for February come in lower than the expected 0.5%, then further downside is possible. NEAR-TERM OUTLOOK – NEUTRAL TO NEGATIVE.

TAGS: American Dollar Forecasts Australian Dollar Forecasts Canadian Dollar Forecasts Currency Predictions Euro Forecasts New Zealand Dollar Forecasts Pound Australian Dollar Forecasts Pound Canadian Dollar Forecasts Pound Dollar Forecasts Pound Euro Forecasts Pound New Zealand Dollar Forecasts Pound Sterling Forecasts