Dollar to Pound Exchange Rate Weekly Roundup - USD/GBP January 5 to January 9

Modified: Sunday, 11 January 2015 17:26 BST - Written by David Woodsmith

STORY LINK Dollar to Pound Exchange Rate Weekly Roundup - USD/GBP January 5 to January 9

Currency News UK Brings You Our US Dollar to British Pound (USD/GBP) Exchange Rate Analysis

At the start of the week, the US Dollar (USD) soared to a fresh nine-year high against the Euro (EUR) as investors raised their bets that the ECB will introduce quantitative easing measures this month.

The sharp rise for the USD came after ECB President Mario Draghi indicated that the bank would soon begin a quantitative easing programme.

The Dollar was also benefiting from increased risk aversion because of the Greek elections and found support from expectations that the Federal Reserve will raise interest rates soon.

An ISM New York Index also beat forecasts. The December ISM New York Index advanced to a reading of 70.8 from 62.4 and optimism surged to a 10-month high.

The currency also advanced against the Pound Sterling as construction PMI data disappointed economists and increased speculation that the Bank of England will not raise interest rates until 2016.

US Dollar Exchange Rate Strengthens

Early on Tuesday, the US Dollar continued to strengthen against the majority of its most traded peers due to the release of better than expected data in the previous session.


The Dollar to Euro exchange rate advanced to a fresh nine year high as investors back the ‘Greenback’ ahead of the release of Eurozone inflation data.

As the session progressed, the currency slowed its advance as a number of PMI data came in below economist expectations. The Pound meanwhile was weakened further by a report, which showed that the UK’s dominant services sector experienced a dip in activity in December. The soft data rounded off a run of weaker than forecast PMI reports and further raised expectations for Bank of England policy makers to refrain from raising interest rates anytime soon.

The US Dollar remained stronger on Thursday against the majority of its most traded peers after a report released on Wednesday showed that the US private sector added a larger than forecast 241,000 jobs in December. The positive report increased speculation that the Federal Reserve is moving closer to hiking interest rates. A lack of market moving data out of the UK kept the Pound under pressure.

Pound to Dollar Exchange Rate Rises From Two-Year Lows

On Friday, the US Dollar declined for the first time in three days against the Japanese Yen and gave up gains against the Pound and other major peers after Federal Reserve of Minneapolis President Narayana Kocherlakota warned against hiking interest rates too soon.

Positive data out of the UK meanwhile allowed Sterling to move away from a 17-month low.

Top Exchange Rates Today (11/01/2014)

The US Dollar to Australian Dollar rate is 1.21948 USD/AUD.
The US Dollar to Canadian Dollar conversion rate is 1.18707 USD/CAD.
The US Dollar to Chinese Yuan exchange rate is 1 USD equals 6.20875 CNY.
The US Dollar to Euro exchange rate is 1 USD equals 0.84454 EUR.
The US Dollar to Pound exchange rate is 1 USD equals 0.65969 GBP.
The US Dollar to Rupee is 1 USD equals 63.64000 INR.
The US Dollar to New Zealand Dollar rate today is converting at 1.27564 USD/NZD.
The US Dollar to Baht is 1 USD equals 32.91500 THB.
The US Dollar to Rand conversion rate is 11.49502 USD/ZAR.

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