Pound Holds Gains, US Dollar And Euro Movement Likely

Published: 22 Apr at 10 AM Tags: Euro, Dollar, Pound Sterling, America, UK, Eurozone, Australian Dollar, New Zealand Dollar, Canadian Dollar, Australia, New Zealand, USA, Canada, China, Japan, South Africa,

Pound Sterling
GBP/USD – Trading in the Region of 1.6810
UK data might be thin on the ground today but the Pound is still riding high following last week’s impressive domestic employment figures. Unless Tuesday’s Eurozone and US reports dramatically top expectations, Sterling is likely to remain in a stronger position against the US Dollar and Euro.

US Dollar
USD/GBP – Trading in the Region of 0.5949
As this afternoon’s US manufacturing and home sales figures are forecast to show improvement the ‘Buck’ may be able to trim recent declines against the Pound in the hours ahead. The US Dollar could also extend its run of gains against the Yen for an eighth day.

Euro
EUR/USD – Trading in the Region of 1.3797
The Euro is still trading in the 1.21 range against the Pound but today’s Eurozone reports could spark a reversal in fortunes for the pairing. If the consumer confidence report for the Eurozone shows a surprisingly strong pick-up in sentiment the Euro may rally.

Australian Dollar
AUD/USD – Trading in the Region of 0.9361
While Australia’s conference board leading index showed a 0.3 per cent gain in February, the ‘Aussie’ remained slightly softer against its US counterpart. However, Australia’s inflation data and China’s manufacturing report (due for release tomorrow) could help the Australian Dollar rediscover its bullish trend.

New Zealand Dollar
NZD/USD – Trading in the Region of 0.8579
With the Reserve Bank of New Zealand forecast to increase borrowing costs this week, the ‘Kiwi’ could advance on its rivals in the days ahead. Tomorrow’s Chinese manufacturing report could also have an impact on the South Pacific currency.

Canadian Dollar
CAD/USD – Trading in the Region of 0.9077
Even if today’s Canadian wholesale sales report impresses, the ‘Loonie’ is unlikely to recover all of the losses sustained last week following the Bank of Canada’s rate decision.

Japanese Yen
USD/JPY – Trading in the Region of 102.5000
The Yen held a seven-day decline against the US Dollar overnight despite Japan’s leading index advancing from 108.5 to 108.9. However, Ukraine tensions did boost the safe-haven currency against several of its higher-risk currency counterparts.

South African Rand
USD/ZAR – Trading in the Region of 10.5185
A lacklustre trading environment left the Rand slightly weaker against the US Dollar. With this week’s major South African reports (inflation and PPI figures) not due out until Wednesday and Thursday, global developments will be responsible for Rand movement.
As of Tuesday, 22nd April 2014, the Pound Sterling currency rates mentioned within this news item were as follows:

GBP EUR exchange rate was 1.2185, GBP USD exchange rate was 1.6825, GBP AUD exchange rate was 1.7969, GBP NZD exchange rate was 1.954, GBP CAD exchange rate was 1.8555, GBP CNY exchange rate was 10.4944, GBP JPY exchange rate was 172.6741, and GBP ZAR exchange rate was 17.7256.

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