Daily Exchange Rate Forecast For GBP EUR And USD & NZD Currency Predictions

Published: Friday, 21 December 2012 14:00 BST - Written by Minesh Chaudhari

STORY LINK Daily Exchange Rate Forecast For GBP EUR And USD & NZD Currency Predictions

This morning’s finalised UK GDP data for Q3 showed that Britain’s beleaguered economy expanded by a lower-than-anticipated 0.9% in the three months to the end of September. The latest UK public sector borrowing figures, released at the same time, provided further cause for concern, revealing that the British government’s public sector net borrowing last month was a mammoth £15.3bn. The outlook for the Pound is NEGATIVE.

The US DOLLAR has been the best-performing of the major currencies on the day today. The safe-haven ‘Buck’ has benefitted from the ongoing procrastination by rowing Republicans and Democrats in the US, in their attempt to find a solution to the tricky ‘Fiscal Cliff’ conundrum. This has caused the GBP USD exchange rate to slip to its current level of 1.6237 and the Greenback is expected to trade with a NEUTRAL TO POSITIVE bias in the short term.

The EURO has had a moderate day so far. A disappointing showing from this morning’s German GfK Consumer Confidence survey has held back the single currency and unless Monday’s German trade numbers provide some encouragement, then the euro may head into Christmas in subdued mood. The current GBP EUR exchange rate stands at 1.2282 and it is anticipated that the single currency will trade with a NEUTRAL bias moving forward.

The NEW ZEALAND DOLLAR had been the worst-performing of the majors so far during today’s session. The ‘Kiwi’ has leaked support due to the generalised ‘risk off’ trading environment which is prevalent due to fears that the US economy may be pushed over a decimating ‘fiscal cliff’ at the end of this year. In the absence of any tier one data releases for the remainder of the year, the NZD may continue to suffer until a debt deal is reached in the States. The current GBP NZD exchange rate stands at 1.9693 and the ‘Kiwi’ is expected to trade on a NEUTRAL TO NEGATIVE footing for the foreseeable future.

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TAGS: American Dollar Forecasts Currency Predictions Dollar Poun Forecasts