Latest Currency News Continued - page 10

Danske Bank analysts expect that the Pound to Euro exchange rate (GBP/EUR) will weaken to 1.1365 on a 6-12 month view. In contrast, Credit Agricole expects that GBP/EUR will strengthen to 1.1905 at the end of 2024. GBP/EUR briefly touched 1.1765 during the week, but failed to break this key resistance level and retreated to below 1.1700 to trade with a net loss to 1.1680. The UK and Euro-Zone outlooks, together with...

BNP Paribas currency analysts expect the Euro to Dollar exchange rate (EUR/USD) to strengthen to 1.15 at the end of 2024. Barclays, however, sees downside EUR/USD risks to their Q1 forecast of 1.05. The major US data releases were mixed during the week with a stronger than expected readings for consumer and producer prices while there was weaker than retail sales data. Inflation data had a bigger market impact on...

The Pound to Dollar (GBP/USD) exchange rat briefly spiked higher after the UK retail sales data, but failed to hold the gains and retreated to near 1.2550 after stronger-than-expected US data. Strong UK data failed to boost the Pound and a sharp 1.3% advance for the FTSE 100 index also failed to provide support. As far as US data releases are concerned, producer prices increased 0.3% for January compared with...

The yen was broadly resilient on Thursday despite weaker than expected Japanese GDP data and the Dollar to Yen (USD/JPY) exchange rate dipped below 150.0 after the latest US retail sales data. The Euro to Dollar (EUR/USD) exchange rate also recovered to 1.0785 highs from 3-month lows near 1.0700 before trading around 1.0765. Markets overall still expect a firm dollar tone in the near term and, after a spike lower to...

US Dollar Grip Loosens Slightly After Weaker US Retail Sales Data, GBP/USD Exchange Rate Holds Above February Lows The Pound posted limited losses after the latest UK GDP data before recovering some ground after the weaker-than-expected US retail sales data. The overall reaction was limited given that data also recorded a rebound in US business surveys. The Pound to Dollar (GBP/USD) exchange rate hit lows near 1.2540,...

UK data on Thursday confirmed that the UK dipped into technical recession for the second half of 2023. The Pound registered limited net losses with the Pound to Euro (GBP/EUR) exchange rate retreating to 1-week lows at 1.1690 before trading just below 1.1700. According to MUFG; “It looks like light EUR/GBP shorts had been built up on the potential for a break of the 2023 low so positioning could see GBP weakness extend...

The Pound to Yen (GBP/JPY) exchange rate continued to make gains in Asia on Wednesday and posted 8-year highs just above the 190.0 level. The Pound retreated after the UK inflation data and markets were also wary over potential intervention to curb yen losses. Markets will be braced for high volatility if there is intervention to support the yen through the Bank of Japan with the UK GDP data another key event for the...

The Pound to Euro (GBP/EUR) exchange rate retreated sharply from 5-month highs of 1.1760 after the latest UK inflation data and retreated further to near 1.1700 after Bank of England Governor Bailey stated that downward pressure on inflation is quite broad-based. Markets are pricing in a 50% chance of a June rate cut with immediate GBP/EUR support likely close to 1.1700. UK consumer prices declined 0.6% for January after...

The Pound to Dollar exchange rate fell back sharply for investors looking to sell Sterling on Wednesday. Inflation data on both sides of the Atlantic have been crucial over the past 24 hours. US inflation data for January was stronger than expected which inflicted further damage to hopes for an early Federal Reserve interest rate cut. In contrast, UK inflation data was slightly lower than expected with markets more...

Dollar Surges to 3-Month Highs on Stronger Than Expected US Inflation Data, EUR/USD Exchange Rate Slides to Test 1.0700 Market expectations surrounding US interest rate cuts have faded throughout the past few weeks and the latest US inflation data triggered another sharp dip in expectations. The currency index overall hit 3-month highs with the Euro to Dollar (EUR/USD) exchange rate also sliding to test 3-month lows at...