Pound to Dollar Exchange Rate Today - GBP EUR Rate Drops As Greece Nears Debt Accord With Its Creditors

Modified: Monday, 30 January 2012 08:24 BST - Written by John Cameron

STORY LINK Pound to Dollar Exchange Rate Today - GBP EUR Rate Drops As Greece Nears Debt Accord With Its Creditors

The Pound Euro exchange rate (GBP EUR) is 1.1914. The Pound Dollar exchange rate (GBP USD) is 1.5675. The Pound Australian Dollar exchange rate (GBP AUD) is 1.4842.

Last week’s session in the currency markets ended with a downward move in global appetite for risk. There were two main drivers behind the ebbing of investor sentiment on Friday – the release of weaker than anticipated US GDP growth figures and the continuing absence of an agreement between Greece and the IIF – the body which is representing the country’s creditors.

The US growth figures showed that the world’s leading economy expanded by an annualised 2.8% during the three months to the end of December 2011. On the face of it, this would appear to be a healthy level of growth during relatively stormy economic times. However, the old market adage ‘buy on the rumour, sell on the fact’, held true once again, as analysts had been expecting the number to show at 3.0%.

Meanwhile, Greece’s debt tragedy continued as the week’s session rumbled to a close. Market participants holding euro-denominated assets were disappointed that an accord had not been reached by the time that the currency market closed on Friday night. However, comments from the creditors’ representatives over the weekend that a deal was close to being finalised will have helped calm frayed nerves and may see European equities markets trade higher today, leading to some strengthening of the euro and further downside pressure for the US Dollar.

However, all is far from rosy in Greece’s garden, as Greek policy-makers issued angry rebuffals to German suggestions that the EU should take over the troubled Hellenic state’s taxation and spending decisions, over the weekend. With such an absence of trust between European partners, there are likely to be more storms ahead for Europe’s beleaguered single currency.


For Pound Sterling to Dollar money exchange, other live foreign exchange rates and a money converter see the currency news website.

International Money Transfer? Ask our resident FX expert a money transfer question or try John's new, free, no-obligation personal service! ,where he helps every step of the way, ensuring you get the best exchange rates on your currency requirements.

TAGS: American Dollar Forecasts Daily Currency Updates Dollar Po Forecasts