Exchange Rate Forecasts

The Pound declined against the majority of the major currencies yesterday as UK stocks slumped to the lowest level since 2005 and the Bank of England kept interest rates unchanged at 5.0% amid concerns that the economy is slipping into a recession. Growth in manufacturing and services industries has contracted in the past month while [...]

The Pound took advantage of broad Dollar weakness yesterday while the UK currency also registered modest gains versus the Euro after commodity prices rallied amid reports that Iran test-fired a long-range missile capable of reaching Israel and the U.S base in Turkey. The very public showing of the launch demonstrated Iran’s power while concerns over [...]

The Pound fell against the Dollar for the fifth consecutive trading session yesterday after a statement from the British Chamber of Commerce said that there were “serious risks” of the UK economy slipping into a recession. Elsewhere, the Pound remained in a tight trading range against the Euro while also registering losses against the majority [...]

The Pound continued to decline against the majors yesterday, dropping under 1.9700 versus the Dollar and falling to a low of 1.2555 versus the Euro as government bonds rallied following a report that UK manufacturing contracted by more than previous estimates in May. A report released last week from the Chartered Institute of Purchasing and [...]

Following on from last week, the Pound declined against the majority of the major currencies as the dwindling sentiment surrounding the outlook for growth led to speculation that rising prices will propel the economy to the brink of recession. Oil prices have continued to hit record highs over the past week and have remained well [...]

The Pound took advantage of broad Euro weakness yesterday to stage a strong intraday rally by the close last night but the UK currency declined against the majority of the major currencies as speculation increased that the Bank of England will refrain from raising interest rates this year. The dwindling sentiment surrounding the outlook for [...]

The Pound slumped to the lowest level in three weeks against the Euro yesterday and also consolidated back towards the support at 1.9860 versus the Dollar after news broke that Britain’s biggest homebuilder, Taylor Wimpey Plc, suffered a record drop after failing to raise fresh capital from investors.The Pound declined against all but one of [...]

The Pound rallied higher against the Dollar yesterday and briefly revisited the $2.00 level for the first time in over two months while the UK currency also registered modest gains versus the Euro as the impact of weaker housing and manufacturing data was offset by the further increase in oil prices. The price of crude [...]

The Pound remained largely unchanged against the majors yesterday, consolidating above the major support at 1.9850, despite reports that UK consumer confidence dropped in June to the lowest level in 18-years and the period that preceded the end of Margaret Thatcher’s reign as Prime Minister. The index of UK consumer sentiment fell to the lowest [...]