British Pound Sterling GBP Weekly Exchange Rate Forecast vs EUR USD AUD

Published: Monday, 12 October 2015 12:30 BST - Written by Ben Hughes

STORY LINK British Pound Sterling GBP Weekly Exchange Rate Forecast vs EUR USD AUD

GBP News: CPI Set to Impact Pound Sterling Exchange Rate

The POUND STERLING (currency : GBP) performed meekly during last week’s session thanks to lower expectations of a UK interest rate hike in the short-to-medium term. Tomorrow morning’s UK CPI inflation numbers will be closely-monitored by analysts – a print of above the anticipated annualised 0.2% will help Sterling no end. An improvement in the tone of data from China this week would also stoke UK rate expectations. The outlook for the British unit is NEUTRAL.

Euro Outperforms GBP Exchange Rate, EUR Unmoved by Volkswagen News

The EURO (currency : EUR) convincingly outperformed the Pound Sterling last week. The single currency appeared unmoved by the Volkswagen emissions scandal and even a relatively weak set of German manufacturing sector data failed to curb increased positivity towards the single currency. However, with the recent tone of German data releases disappointing, a decent showing from tomorrow morning’s ZEW Sentiment survey from the powerhouse Teutonic economy is now needed to help support the euro. The euroland unit is forecast to trade on a NEUTRAL TO NEGATIVE footing in the near-term and GBP EUR stands at 1.3480.

US Dollar Exchange Rate Outlook Now: USD Struggling

A strong performance from global equities last week equated to a poor showing from the US DOLLAR (currency : USD). The Federal Reserve’s Thursday hint that a US interest rate hike was far from a nailed-on certainty for 2015 sent appetite for risk soaring and held back the Buck. However, Thursday afternoon’s US inflation data has the potential to turn this set-up around. A year-on-year showing of above zero from this figure would increase the chances of a December rate hike from the Fed – in the meantime, the Greenback is forecast to trade on a NEUTRAL TO NEGATIVE footing. The GBP USD exchange rate stands at 1.5330.

Foreign Exchange Predictions: Australian Dollar Rebounds from Worst Rates

The AUSTRALIAN DOLLAR (currency : AUD) staged a concerted comeback against Sterling last week, thanks to an uptick in global commodities prices which sent the GBP AUD exchange rate to well below the 2.1000 threshold. However, this sharp improvement for the Aussie will be severely tested by several key pieces of data out of China this week. Domestic unemployment data, due for publication during the early hours of Thursday morning, is also likely to prove seminal for the Australian unit. Analysts forecast that the near-term improvement from the Aussie may prove ephemeral – the AUD outlook is NEUTRAL TO NEGATIVE and the GBP AUD exchange rate stands at 2.0910.

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: Australian Dollar Forecasts Currency Predictions Daily Cur Forecasts