Foreign Currency Exchange Rate Outlook for Pound Sterling EUR USD CHF

May 28, 2015 - Written by John Cameron

STORY LINK Foreign Currency Exchange Rate Outlook for Pound Sterling EUR USD CHF

This morning’s highlight in the global currency market comes from the UK in the form of the latest quarterly Gross Domestic Product data. A showing of above the expected annualised 2.5% will be required to maintain the post-General Election forward momentum for the POUND STERLING (currency:GBP). Look out for tomorrow morning’s Nationwide House Price data to provide the Pound with further direction – in the meantime, analysts anticipate that the UK unit will perform on a NEUTRAL TO NEGATIVE footing.

The US DOLLAR (currency:USD) continued to surge against the Pound Sterling during yesterday’s session. The positive performance for the Buck helped the GBP USD exchange rate drop back down into the 1.5200s and the downward move for the pair may be provided with further fuel if this afternoon’s US weekly jobs figures please investors. From a technical perspective, GBP USD may have a considerable distance Southwards left to travel, given that it was trading 8c lower earlier this year. The outlook for the Buck is NEUTRAL TO POSITIVE and GBP USD stands at 1.5322.

The EURO (currency:EUR) was bolstered yesterday afternoon when rumours emerged that Greece had reached a ‘staff level agreement’ with her creditors. If this proves to be the case and the debt-riddled Hellenic state is granted further bail-out funding, then the single currency will strengthen further. However, the European Central Bank’s large scale Quantitative Easing programme continues in the background, so the prospects for the euro remain NEGATIVE. The GBP EUR exchange rate stands at 1.4080.

The SWISS FRANC (currency:CHF) improved against the Pound Sterling yesterday, in spite of suggestions that Greece is about to extricate itself from the debt hole which it has been living in for several years. The Franc remains Europe’s safe haven tender, so by rights the news should have weakened the Swiss unit. This set-up, in combination with the prospect of the publication of Q1 Swiss Gross Domestic Product data first thing tomorrow morning, place the Franc’s recent renaissance in peril. Analysts forecast that the Franc will trade with a NEUTRAL TO NEGATIVE bias moving forward and GBP CHF currently sits at 1.4567.

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 Currency Predictions Euro Forecasts Euro Forecasts