GBP/USD Hits 12-Week High, Syria Developments Trigger Movement

Published: 10 Sep at 10 AM Tags: Euro, Dollar, Pound Sterling, America, UK, Eurozone, Australian Dollar, New Zealand Dollar, Canadian Dollar, Australia, New Zealand, USA, Canada, China, Germany, Italy, Japan, Russia, South Africa,

Pound Sterling
After Chancellor of the Exchequer George Osborne stated that the UK economy had turned a corner the Pound broadly strengthened. The British asset was also supported by the expectation that tomorrow’s domestic employment report will show progress and Sterling advanced to a 12-week high against the US Dollar.
GBP/EUR – Trading in the Region of 1.1843

US Dollar
USD/EUR – Trading in the Region of 0.7545
With the odds of the US ordering a strike on Syria significantly reduced by Russia’s proposal, the ‘Greenback’ softened against the majority of its higher-risk currency counterparts. As pertinent US economic news is thin on the ground today investors will be looking ahead to Thursday’s initial jobless claims report.

Euro
EUR/USD – Trading in the Region of 1.3245
Early into the European session the Euro extended declines against rivals like the Pound as the Italian economy was shown to have contracted by more than forecast. Additional Euro movement may be limited ahead of tomorrow’s German inflation figures.

Australian Dollar
AUD/USD – Trading in the Region of 0.9248
As both retail sales and industrial production in China advanced by more than expected, while a gauge of Australian business confidence showed improvement, the ‘Aussie’ posted notable gains against peers like the US Dollar during the local session.

New Zealand Dollar
NZD/USD – Trading in the Region of 0.8017
During Australasian trading the New Zealand Dollar strengthened against its US counterpart in reaction to encouraging domestic card spending data and positive economic reports from China. The South pacific asset also rallied against several of its other most traded peers.

Canadian Dollar
CAD/USD – Trading in the Region of 0.9647
Last week the Canadian Dollar advanced on its rivals as the local economy added three times as many jobs as estimated. Yesterday the better-than-forecast domestic data continued as building permits unexpectedly surged, pushing the ‘Loonie’ to a three-week high against the ‘Greenback’. The commodity-driven asset could climb further if today’s Canadian housing starts report also shows improvement.

Japanese Yen
USD/JPY – Trading in the Region of 99.9900
The Yen extended declines against the US Dollar overnight and tested the 100 Yen per Dollar level as safe-haven assets were passed over in favour of their higher-yielding peers in response to news from Syria.

South African Rand
Hopes that the Syria crisis may reach a diplomatic solution saw the US Dollar soften, while better-than-forecast economic news for China boosted the Rand. However, South Africa’s current account data could inspire further Rand movement in the hours ahead.
USD/ZAR – Trading in the Region of 9.9860
As of Tuesday, 10th September 2013, the Pound Sterling currency rates mentioned within this news item were as follows:

GBP EUR exchange rate was 1.1859, GBP USD exchange rate was 1.573, GBP AUD exchange rate was 1.6907, GBP NZD exchange rate was 1.953, GBP CAD exchange rate was 1.6285, GBP CNY exchange rate was 9.6265, GBP JPY exchange rate was 157.9651, GBP RUB exchange rate was 51.9257, and GBP ZAR exchange rate was 15.7171.

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