EUR, GBP, AUS, NZD Exchange Rates Continue To Be Driven By US News

Published: 8 Jul at 10 AM Tags: Euro, Dollar, Pound Sterling, America, UK, Eurozone, Australian Dollar, New Zealand Dollar, Canadian Dollar, Cyprus, Australia, New Zealand, USA, Canada, France, Germany, Greece, Ireland, Italy, Japan, South Africa, Portugal,

Pound Sterling
GBP/USD – Trading in the Region of 1.4895
The Pound continues to trade below 1.50 against the US Dollar following last week’s surprisingly dovish policy statement from the Bank of England. Although an absence of UK news is likely to limit Pound fluctuations today, tomorrow’s UK industrial production report will be of interest.

US Dollar
USD/EUR – Trading in the Region of 0.7793
Last week’s strong US non-farm payrolls report boosted the US Dollar before the weekend. The ‘Greenback’s bullish relationship with its peers continued as European trade began and investors await the publication of minutes from the latest Federal Reserve Policy meeting.

Euro (Currency of Germany, France, Spain, Italy, Portugal, Greece, Ireland, Austria, Belgium, Cyprus, Estonia, Finland, Luxembourg, Malta, the Netherlands, Slovakia and Slovenia)
EUR/USD – Trading in the Region of 1.2833
As finance ministers from the Eurozone prepare to meet in Brussels the Euro continued to trade below 1.29 against the US Dollar and was little changed against the British Pound. Separate reports showing that Germany posted a smaller-than-forecast trade surplus and an unexpected decline in investor confidence in the Eurozone could wear on the common currency as the European session continues.

Australian Dollar
AUD/USD – Trading in the Region of 0.9148
Both the ECB’s policy statement and data showing that Australia’s performance of construction index jumped from 35.3 to 39.5 in June supported the ‘Aussie’ during the local session. However, gains against the US Dollar were limited by the expectation that today’s data will show that the US economy added 165,000 positions in June.

New Zealand Dollar
NZD/USD – Trading in the Region of 0.7728
A positive house price report for New Zealand modestly boosted the ‘Kiwi’ during local trade. While news from the US is likely to drive the currency market this week, local reports (such as today’s business opinion survey) will also impact the New Zealand Dollar.

Canadian Dollar
CAD/USD – Trading in the Region of 0.9463
Concerns that the Canadian economy is lagging behind the US saw the commodity-driven currency flop against the ‘Greenback’ as last week came to a close. The Canadian Dollar’s bearish relationship with its peers could continue if this week’s domestic data adds to recent signs of an uneven economic recovery.

Japanese Yen
USD/JPY – Trading in the Region of 101.1700
With the US economy adding more jobs than expected, the ‘Greenback’ strengthened against several of its most traded peers. Consequently, the Yen weakened to a five-week low against its American counterpart during local trade. During the Asian session domestic data showed that Japan’s current and outlook eco watchers surveys unexpectedly declined in June.

South African Rand
ZAR/USD – Trading in the Region of 10.2635
With a bullish US Dollar stomping all over commodity-driven currencies, the Rand weakened against the US Dollar as local trade opened. The South African currency was adversely affected by last week’s positive UK employment figures and further indications that the Federal Reserve may be able to start tapering quantitative easing could see the Rand soften further.
As of Monday, 8th July 2013, the Pound Sterling currency rates mentioned within this news item were as follows:

GBP EUR exchange rate was 1.1619, GBP USD exchange rate was 1.4952, GBP AUD exchange rate was 1.6361, GBP NZD exchange rate was 1.9155, GBP CAD exchange rate was 1.5788, GBP JPY exchange rate was 150.7991, and GBP ZAR exchange rate was 15.1977.

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