Exchange Rates Update - GBP, USD, EUR, AUD, CAD & NZD

Published: 25 Mar at 10 AM Tags: Euro, Dollar, Pound Sterling, America, UK, Eurozone, Australian Dollar, New Zealand Dollar, Canadian Dollar, Cyprus, Australia, New Zealand, USA, Canada, Italy, Japan,

Pound Sterling

GBP/USD – At four-week high

The Pound was able to reach its highest level against the US Dollar for a month following the release of a positive housing report for the UK. After figures compiled by Hometrack Ltd revealed that average home values in England and Wales increased by 0.3 per cent this month the Pound strengthened to $1.5269. The rise in home values was the most significant for three years. Sterling was little changed against the Euro after EU finance ministers finally approved a 10 billion Euro bailout package for struggling Cyprus.

US Dollar

USD/JPY – Trading Higher

The recent Eurozone turmoil has seen the safe-haven US Dollar strengthen against the majority of its higher-risk peers over the last week, but now that Cyprus has secured a 10 billion Euro bailout package risk appetite is likely to grow and the ‘Greenback’ could decline. However, the American currency has gained against safe-haven rival the Japanese Yen this morning as investors turn from the Asian asset to higher-yielding currencies. The US Dollar is likely to continue gaining on the Yen as the Bank of Japan’s policy meeting approaches. New BOJ Governor Haruhiko Kuroda is expected to announce that the central bank will be adopting more aggressive easing.

Euro

EUR/USD – Fluctuating

The Euro initially advanced after a weekend of uncertainty finally ended in Cyprus securing a desperately needed bailout package. However, the common currency later erased gains made against rivals like the US Dollar as investors fear that the 10 billion Euro deal won’t be enough to save the struggling Eurozone member from defaulting. Any additional news concerning the situation in Cyprus could cause Euro movement in the hours ahead. Also of interest is this morning’s Italian bond sale.

Australian Dollar

AUD/USD – Trading Higher

The Australian Dollar retained recent gains made against its US counterpart during local trade despite the Cyprus situation remaining uncertain. With some investors believing that Australian banks won’t be harmed by this latest crisis in the Eurozone, the ‘Aussie’ traded in the region of $1.045+. The South Pacific currency then extended gains after a bailout package was secured. A lack of Australian economic news in the days ahead means that movement in the nation’s Dollar is likely to occur in response to global economic developments.

New Zealand Dollar

NZD/USD – Close to a four-week high

The ‘Kiwi’ lingered in the region of a four-week high during local trade, little affected by the ongoing bailout discussions in Cyprus. The news that a bailout package had been agreed had an immediate impact on the market this morning and New Zealand Dollar rose modestly against several of its main currency rivals.

Canadian Dollar

CAD/USD –Trading Higher

As last week came to a close, the Canadian Dollar lost ground against the majority of its most traded peers as the volatile situation in Cyprus dampened risk appetite. This morning the ‘Loonie’ has risen to trade in the region of 0.9781 US Dollars as the market reacts to the news that Cyprus has secured a 10 billion Euro bailout.
As of Monday, 25th March 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 1.5178, GBP AUD exchange rate was 1.451, GBP NZD exchange rate was 1.8181, GBP CAD exchange rate was 1.5507, and GBP JPY exchange rate was 142.6283.

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