Exchange Rate News GBP/USD Little Changed, USD/JPY Higher

Published: 21 Oct 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, Japan, South Africa,

Pound Sterling
GBP/EUR – Trading in the Region of 1.1817
Having broadly strengthened last week in response to positive UK retail sales and employment data, the Pound largely retained gains over the weekend. The British asset was little affected by a report showing an impressive surge in a gauge of UK house prices. The week’s most influential UK data, third quarter GDP, is due for publication on Friday.

US Dollar
USD/EUR – Trading in the Region of 0.7308
With investors betting that the government shutdown will delay the Federal Reserve tapering easing until at least March, the US Dollar retained recent declines over the weekend. The ‘Buck’ slid against all of its higher-risk peers last week, shedding 0.9 per cent against the Yen and 1 per cent against the Euro. Today US Dollar movement could be triggered by domestic existing home sales figures.

Euro
EUR/USD – Trading in the Region of 1.3682
As reports emerged of German Chancellor Angela Merkel’s attempts to build a government, the Euro was little changed against the US Dollar and continued to trade lower against a bolstered Pound. Common currency movement could be inspired by German producer price data and the Bundesbank’s monthly report in the hours ahead.

Australian Dollar
AUD/USD – Trading in the Region 0.9670
With investors speculating that the ‘Aussie’ is poised to reverse its recent rally, the Australian Dollar softened against the majority of its most traded peers overnight. For the first half of the week further ‘Aussie’ fluctuations are most likely to be caused by economic data from China and the US.

New Zealand Dollar
NZD/USD – Trading in the Region of 0.8487
A report showing an increase in domestic net migration helped the ‘Kiwi’ advance on its Australian counterpart during the local session. However, with separate data showing a reduction in the level of credit card spending in New Zealand the South Pacific currency’s gains were limited.

Canadian Dollar
CAD/USD – Trading in the Region of 0.9717
On Friday domestic inflation data and shutdown-inspired growth concerns caused the commodity-driven Canadian Dollar to decline against its US counterpart. The ‘Loonie’ also softened against the Pound. Although today’s Canadian wholesale sales data will be of interest, market movement is more likely to be generated by US news.

Japanese Yen
USD/JPY – Trading in the Region of 98.0100
During the Australasian session the Yen lost ground against all of its main rivals as data showed a slowing in Japan’s export growth, Asian stocks rose and the nation’s central bank reaffirmed its commitment to easing.

South African Rand
USD/ZAR – Trading in the Region of 9.7400
The belief that the Federal Reserve will maintain an accommodative easing policy until at least next spring supported the emerging market Rand as the local session began. South Africa’s currency consolidated gains against the ‘Greenback’ ahead of Wednesday’s domestic inflation figures.
As of Monday, 21st October 2013, the Pound Sterling currency rates mentioned within this news item were as follows:

GBP EUR exchange rate was 1.1804, GBP USD exchange rate was 1.6143, GBP AUD exchange rate was 1.6722, GBP NZD exchange rate was 1.9092, GBP CAD exchange rate was 1.6636, GBP CNY exchange rate was 9.8354, GBP JPY exchange rate was 158.4943, and GBP ZAR exchange rate was 15.8883.

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