Today?s Currency Rate Predictions For The Pound Sterling, Euro, US Dollar and South African Rand

Published: Friday, 24 August 2012 16:00 BST - Written by Toni Johnson

STORY LINK Today?s Currency Rate Predictions For The Pound Sterling, Euro, US Dollar and South African Rand

This morning’s latest UK GDP Q2 data brought an upward revision from -0.7% to -0.5%. However, the POUND STERLING struggled to make up any ground on the day, because the upward revision was expected. The overall impression which market participants have taken from the release is that the British Coalition’s austerity measures are hurting, but not working. With next week seeing a very light schedule of British data releases, the figure could weigh Sterling down well into September.

Greek leader Antonis Samaras requested ‘breathing space’ during a visit with his German counterpart in Berlin today. The EURO had fared well in early trading, but dropped back after Samaras’ comments, which left market participants smelling a potential row. This could hit the single currency hard in coming weeks. The GBP EUR exchange rate sits at 1.2665.

The US DOLLAR has continued to improve today following the sharp bout of selling pressure which it encountered on Wednesday evening following the release of the latest Fed minutes. However, much stronger than expected US Durable Goods data, released this afternoon, has the potential to improve global appetite for risk, causing renewed downside for the Greenback. The current GBP USD exchange rate stands at 1.5824.

The SOUTH AFRICAN RAND has suffered significant downside pressure since last week’s killings at Lonmin’s platinum mine. Investors fear that the violent attack could trigger similar actions from disgruntled workers. While these fears persist and global appetite for risk remains subdued, further selling pressure can not be ruled out for the South African tender. The GBP ZAR exchange rate is trading at 13.2845.

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TAGS: American Dollar Forecasts Currency Predictions Dollar Poun Forecasts