Latest Currency News Continued - page 12

Foreign exchange update: The Pound to Euro (GBP/EUR) exchange rate has been held in tight ranges during the past 24 hours with mixed influences on the pair. GBP/EUR held above 1.1700, but unable to challenge resistance level and settled around 1.1715. Although GBP/EUR should hold firm, resistance will be tough to break down. The combination of firm UK data releases and solid risk conditions will tend to underpin the...

Positive Fundamentals Underpin the Pound, GBP/USD Exchange Rate Holds Above 1.2600 The Pound to Dollar (GBP/USD) exchange rate made further headway in Europe on Wednesday with a peak just above 1.2640. Firm domestic data provided net currency support, but UK equities lost ground later in the session and GBP/USD retreated to 1.2620. In comments on Wednesday, Bank of England Deputy Governor Breeden’s line was very...

GBP/EUR Exchange Rate Rebounds from 2-Week Lows on Positive UK News Flow The Pound to Euro (GBP/EUR) exchange rate dipped to 2-week lows just below 1.1670 on Tuesday before a solid recovery to just above the 1.1700 level. The overall UK data flows has remained broadly positive which has helped underpin the Pound. Sentiment in global equities remains firmer, especially amid hopes for Chinese support measures, which has...

US Dollar Extends Gains after US Prices Data, EUR/USD Exchange Rates Slide to 11-Week Lows The US data on Monday was again stronger than expected and, although there were still concerns that official data was overstating US strength, there was still further US gains, especially with European currencies again generally out of favour. The Euro to Dollar (EUR/USD) exchange rate dipped to 11-week lows just below 1.0725...

US Dollar Strength Dominates Markets, GBP/USD Exchange Rate Slides to 7-Week Lows The UK data was firm on Monday, but the Pound was unable to draw any benefit and the Pound to Dollar (GBP/USD) exchange rate posted further significant losses to 7-week lows at 1.2550. Dollar strength is liable to dominate for now unless there is extremely weak US data. The final UK services-sector PMI reading was revised higher to a...

Foreign exchange update: The Pound to Euro exchange rate (GBPEUR) found support below the 1.1700 level in Asia on Monday and strengthened to near 1.1720 after the European open. Markets overall are more confident over the UK economic outlook and Euro-Zone investor confidence improved in February, but the Pound and Euro have both lost ground in global markets on Monday. Bank of England (BoE) and ECB expectations will be a...

Where next for Sterling? Longer-term forecasts by MUFG show the Pound to Dollar exchange rate could strengthen to 1.31 at the end of 2024. In contrast, Rabobank has a 3-month forecast of 1.25 while Credit Agricole has an end-2024 forecast of 1.25. The Bank of England (BoE) pushed back against market expectations of an early cut in interest rates. GBP/USD, however, was unable to hold gains during the week and dipped to...

Foreign currency experts at Danske Bank expect that the Euro to Dollar exchange rate to weaken towards 1.05 on a 12-month view. In contrast, MUFG expects EUR/USD will strengthen to 1.14 at the end of 2024. Dollar bears suffered a double setback during the week. Federal Reserve Chair Powell cast major doubts on the potential for an interest rate cut. Lingering hopes for a cut were then dashed by a much stronger than...

Foreign exchange strategists at Credit Agricole forecast that the Pound Sterling (GBP) will strengthen to 1.1900 against the Euro (EUR) by the end of 2024. Danske Bank still forecasts that the GBP/EUR exchange rate will weaken to 1.1235 this year. Relative economic expectations remain a key element and GBP/EUR posted 5-month highs at 1.1745 before settling around 1.1720 on Friday. The Bank of England (BoE) held...

The pound-to-euro (GBP/EUR) exchange rate dipped to lows at 1.1685 ahead of Thursday’s Bank of England (BoE) policy meeting. The BoE vote split and guidance were less dovish than expected and this triggered a rebound in the Pound as markets pared expectations of a May interest rate cut. GBP/EUR rallied to 1.1730 and traded above 1.1700 on Friday. Overall ranges were relatively narrow with fresh doubts over an early...