Exchange Rate Forecasts

The Pound declined heavily against the Euro yesterday, plummeting through the major support level at 1.4650 and also made losses versus the Dollar amid speculation that UK interest rates will remain on hold for the remainder of the year. The Governor of the Bank of England, Mervyn King, remained defiant yesterday and refused to relax [...]

The Dollar continued to decline against the majors yesterday, falling to within a breath of the all-time low versus the Euro as growing concerns over the U.S economy continue to dominate. The U.S currency has made losses for five consecutive trading sessions and that trend is likely to continue over the coming week as we [...]

The Pound declined against both the Euro and the Dollar yesterday following a report from the Office of National Statistics, which showed that UK producer prices rose by much less than anticipated in August. Input prices fell 0.5% while output PPI increased by a modest 0.1% from the previous month and suggests that moderating inflationary [...]

Following on from last week, the negative sentiment surrounding the Dollar continued on Friday as the U.S currency declined back above 2.0300 versus the Pound following a surprisingly weak report on the U.S labour market. Initial forecasts seemed to suggest that economists were looking for U.S companies to have added 100,000 jobs to payrolls last [...]

The Euro managed to claw back some gains against the Pound yesterday and also remained largely unchanged versus the Dollar despite the ECB’s decision to hold interest rates at 4.00% in September. Amid the increased volatility in financial markets in recent weeks, the European Central Bank neglected to lift borrowing costs despite a strong indication [...]

The Dollar came under renewed pressure against the majors yesterday as the Dow Jones plunged 150 points over the course of the day, taking carry trades down with it, while another spate of negative economic reports project difficult times ahead for the U.S economy. During the increased state of turmoil surrounding financial markets over the [...]

The Pound snapped a four-day winning streak against the Euro yesterday and also declined significantly versus the U.S Dollar despite continued strength in UK economic data. A report from the British Retail Consortium showed that retail sales rebounded strongly in August while construction spending hit the highest level in nine-years over the same period. The [...]

The Pound rose for a fourth consecutive day against the Euro and also remained largely unchanged versus the Dollar following a stronger-than-expected report on UK manufacturing activity. The CIPS survey was expected to show that factory output declined in August but the strongest level of growth in nearly 13-years drove the index to a reading [...]