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

2 Jun 2011 at 3 PM - Written by John Cameron

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

POUND STERLING

This morning’s PMI Construction Sector data came out ahead of expectations , however the Pound has once again struggled against the other majors on the day. The PMI Services figure has been market-moving in recent months, due to the UK economy’s perceived reliance on the key services sector, so tomorrow’s figure will be closely watched. NEAR-TERM OUTLOOK – NEUTRAL.


US DOLLAR – The Pound Dollar exchange rate (GBP/USD) is 1.6342

US Labour Market data released at the start of today’s North American session has been generally better than expectations, causing an improvement in appetite for risk which has seen the GBP USD and EUR USD rates edge higher. If tomorrow’s Non-Farm Payroll figure is also firmer-than-expected then the Greenback may come under further selling pressure. NEAR-TERM OUTLOOK – NEUTRAL TO NEGATIVE.


EURO – The Pound Euro exchange rate (GBP/EUR) is 1.1308

ECB President Jean-Claude Trichet suggested the instigation of a Europe-wide Finance Ministry which would be able to over-ride individual states’ budgets, when he spoke earlier today. The market responded well to this proposal with the EUR USD rate up by over 1% by the middle of today’s European session. NEAR-TERM OUTLOOK – NEUTRAL TO POSITIVE.


AUSTRALIAN DOLLAR – The Pound Australian Dollar exchange rate (GBP/AUD) is 1.5344

Weak Australian trade figures for April released overnight have held back the Aussie on the day. However, following disappointing Q1 Australian GDP growth data released earlier in the week, the market was not unduly thrown by another set of weak Aussie data. A poor 24 hours for global equities provides greater cause for concern for clients holding AUD-denominated assets. NEAR-TERM OUTLOOK – NEUTRAL.


NEW ZEALAND DOLLAR – The Pound New Zealand Dollar exchange rate (GBP/NZD) is 2.0045

The Kiwi has staged a major recovery since the shock of March’s Christchurch earthquake which saw the GBP NZD exchange rate rise to 2.2529. So far, the GBP NZD rate has failed to hold below 2.00, however a report released by Statistics New Zealand within the last 24 hours stating that New Zealand’s Terms of Trade are currently at their most favourable for 37 years may give the Kiwi the momentum it needs to make a significant break forward. NEAR-TERM OUTLOOK – POSITIVE.


NORWEGIAN KRONE – The Pound Norwegian Krone exchange rate (GBP/NOK) is 8.7861

The Norwegian Krone has outperformed almost all of the sixteen most-actively traded currencies during today’s session, with the GBP NOK exchange rate down by 1.10% just before the European close. Although spot oil prices have struggled to break forward on the day, Brent Crude futures are currently trading up by over 1%, which is helping to drive the NOK to new near-term highs. NEAR-TERM OUTLOOK – POSITIVE.


For other live currency exchange rates and a currency converter see the currency news website.

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