Daily Exchange Rate Predictions For USD, GBP, EUR and AUD

Published: Friday, 31 August 2012 16:00 BST - Written by John Cameron

STORY LINK Daily Exchange Rate Predictions For USD, GBP, EUR and AUD

The US DOLLAR has firmed this afternoon following doom-laden comments from Fed Chairman Ben Bernanke in Jackson Hole. Bernanke expressed his ‘grave concern’ regarding the state of America’s labour market and talked of the US’s ‘daunting economic challenges’. While he failed to rule out further QE in the States, there was nothing to suggest that an extension to the US’s asset purchase scheme was imminent. The knee-jerk downward shift in global equities suggests that the Greenback may be strongly supported moving forward. The current GBP USD exchange rate stands at 1.5861.

The POUND STERLING has held its ground against the rest of the majors during today’s session. Sterling’s status as a relatively risk-neutral currency meant that it was insulated from the effects of Fed Chairman Bernanke’s comments earlier today. However, caution is advisable for investors still holding Sterling-denominated assets, as recent economic indicators from the UK have been far from positive.

The EURO has made considerable headway against both the Pound and the US Dollar so far today, in spite of some dire German retail sales numbers. The main reason for the support for the single currency was ECB President Mario Draghi’s absence from the Jackson Hole meeting of global central bankers. Market rumours suggest that he stayed in Europe in order to formulate an asset purchase scheme for the eurozone. If these whispers prove correct, then the euro could improve from here. The current GBP EUR exchange rate sits at 1.2590.

The AUSTRALIAN DOLLAR has been in the firing line since Fed Chairman Ben Bernanke spoke earlier today. Bernanke painted a bleak picture of the future prospects of the global economy, while failing to announce any concrete policy measures in order to deal with the situation – a nightmare scenario for investors holding Aussie-denominated assets. The current GBP AUD exchange rate is 1.5368.

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 Australian Dollar Forecasts Currency Predi Forecasts