Exchange Rate Forecasts

Despite the fundamental lack of UK economic data released yesterday, the Pound succumbed to comments from Bank of England policy maker, David Blanchflower, who was the sole voice for a cut in interest rates in July, said that the economic outlook has worsened significantly over the past month. In an interview with BBC Radio, Blanchflower [...]

The Pound initially declined against the Euro yesterday, dropping to the lowest level in a week, while the UK currency also revisited the trend support at 1.9850 versus the Dollar after a report from Hometrack Ltd showed that house prices fell in July by the most in at least seven years. The average cost of [...]

Following on from last week, the volatility surrounding the Pound is likely to continue as the UK currency initially strengthened against the majority of the 16 most actively traded currencies despite reports that the UK economy matched the slowest pace of growth since 2001. According to a report from the Office of National Statistics, gross [...]

The Pound recorded widespread gains against the majors yesterday, rising to a seven week high versus the Euro and briefly revisiting the $2.00 level following the release of the minutes from the Bank of England’s last policy meeting. The voting pattern of the nine strong committee showed that at least one member of the MPC [...]

The Pound took advantage of broad Euro weakness yesterday to breach back above the 1.2600 barrier by the close of trading last night but the UK currency fell back towards the 1.9900 level versus the Dollar amid a string of economic and geo-political factors. Crude oil prices fell more than $3 a barrel in New [...]

The Pound fell to a low of 1.9909 against the Dollar yesterday, before bouncing back later in the session, after an industry report from Rightmove Plc showed that UK house prices dropped by the most since the survey began in 2002. The average price for a home in Britain fell an annual 2% this month [...]

Following on from last week, the Pound has been susceptible to the increased level of volatility in stock and commodity markets while the looming threat of a UK recession has caused some division with the Bank of England’s monetary policy committee. The price of oil may have peaked above $147 a barrel as U.S inventories [...]

The Pound struggled to remain above the crucial $2.00 level for a second consecutive day against the Dollar while the UK currency also retreated back towards 1.2600 versus the Euro last night amid contradictory comments from the Bank of England. Consumer prices rose above preliminary forecasts in June and to the highest level in over [...]

The Pound failed to consolidate above the $2.00 barrier against the Dollar yesterday but the UK currency took advantage of broad Euro weakness to close above 1.2600 last night despite a sharp increase in UK unemployment. Claims for jobless benefits climbed for a fifth straight month in June and by the most since the end [...]

Following on from last week, the Pound took advantage of broad Dollar weakness as the escalating tensions in the Middle East helped bring oil prices to the highest level on record while the U.S Stock market plunged after shares in Fannie Mae and Freddie Mac fell to the lowest level in over 17-years. Oil prices [...]