Exchange Rate Forecasts

The Dollar found some tentative support against the Euro yesterday, firming a surprising 0.4% by the close last night after falling to a new 20-month low earlier in the session. There was a host of significant economic data released in the States yesterday as a report on U.S GDP showed that the economy expanded at [...]

The positive sentiment surrounding the Euro continued yesterday as the single currency rose to a fresh 20-month high against the Dollar despite comments from the French Finance Ministry expressing concerns that the recent strength of the Euro could hamper economic growth. The single currency found support from the M3 data, which showed that money supply [...]

The Pound rose for the eighth day in succession against the Dollar yesterday despite a distinct lack of economic data released in Europe or the States and that trend looks set to continue this morning as Sterling advances to fresh two-year high at 1.9440 following a particularly hawkish rhetoric from the Chancellor of the Exchequer. [...]

Following on from last week, the Pound continued to make gains against the beleaguered Dollar after trading at the highest point in two years above 1.9300 following a slightly better than expected report on UK GDP in the third quarter. Economic growth expanded 0.7% in the revised estimate, which was largely in line with previous [...]

The Dollar declined heavily against the majors yesterday, falling 0.8% versus the Pound as we approach the yearly high towards 1.9175 and a further 0.7% against the Euro to trade near a six month low. The Dollar sell-off can be attributed to a number of reasons, not least the rumours that investors were considering unwinding [...]

The Pound found further support against the majors yesterday, firming an additional 0.1% against both the Euro and the Dollar as we break back above 1.9000. The Confederation of British Industry released their monthly industrial trends survey yesterday, which unexpectedly showed a pick-up in the sector for November following last month’s weakness. The report showed [...]

The Pound advanced against the majors yesterday, firming 0.1% against both the Euro and the Dollar following a distinct lack of fundamental data released in the States and in Europe. The Rightmove index showed that UK house prices accelerated to the fastest annual pace for 2-years in November but it is widely anticipated that prices [...]

Following a barrage of significant economic reports released last week, we can expect a relatively quiet week in terms of data with the focus falling on the minutes from the Bank of England’s last policy meeting where the MPC elected to raise UK interest rates to 5.0%. The language and tone of the minutes will [...]

The Pound came under renewed pressure yesterday, dropping 0.5% against the Dollar from an 18-month high earlier in the session and a further 0.1% versus the Euro following a band of weak economic reports. UK factory-gate inflation accelerated at the slowest annual pace in over two years for the month of October as energy prices [...]

The Pound advanced to the highest level this year against the Dollar last week following a combination of weak U.S economic data and the Bank of England’s decision to lift UK interest rates to 5.0% in an attempt to rein in inflation and maintain price stability. There is a plethora of significant data released this [...]