News

Budget holds no surprises

28 July, 2011

CurrencyIndex

Yesterday’s budget has had very little impact on exchange rates, given Alistair Darling’s cautious approach and the lack of any real economic change.

This morning we saw UK retail sales figures come out slightly better than expected, which has boosted the Pound somewhat. Exchange rates for sending money abroad are generally better than earlier in the week, with no major UK data due out before the weekend.

Inflation as predicted

28 July, 2011

CurrencyIndex

This morning’s UK inflation figures have come out slightly below expectations, with very little impact on the Pound and exchange rates.

Attention now turns to tomorrow’s Budget – will Chancellor Darling give any reason for optimism in his measures tomorrow?

This week’s currency news 217

28 July, 2011

CurrencyIndex

This week we have the UK budget on Wednesday – analysts will be looking to interpret the government’s plans with a likely knock-on effect for the Pound.

Other data releases due this week and likely to influence exchange rates are as follows:

Monday 22nd
1530 – Bank of England Governer King’s speech
1530 – European Central Bank President Trichet’s speech
2030 – US Treasury Geithner’s speech

Tuesday 23rd
0930 – UK CPI & RPI inflation
1400 – US homes sales

Wednesday 24th
UK Budget
0100 – New Zealand consumer confidence
0900 – German business climate survey
1230 – US durable goods orders
1400 – US new home sales
2145 – New Zealand GDP

Thursday 25th
0930 – UK retail sales
1230 – US jobless claims
2245 – New Zealand trade balance

Friday 26th
1330 – US GDP & personal consumption

Public borrowing not as bad as expected

28 July, 2011

CurrencyIndex

Public borrowing for February came in at £12.4bn – not as bad as economists had predicted (£14bn) and after yesterday’s unemployment figures were also better than expected, the Pound has gained some strength from the first positive signs in the economy for some time.

With no major data out in the UK tomorrow, there may be an opportunity to secure better exchange rates over the next 24hrs for any payments you need to send abroad.

Unemployment figures boost Pound

28 July, 2011

CurrencyIndex

This morning’s UK unemployment figures have come in much better than expected – giving sterling a much-needed boost.

With public borrowing numbers due out tomorrow morning, today could be an opportunity to secure your exchange rate for sending foreign currency.

Please contact Currency Index if you would like to discuss your options.

Data out today and tomorrow

28 July, 2011

CurrencyIndex

A busy couple of days ahead, with plenty of data releases likely to affect commercial exchange rates:

Tuesday 16th
0030 – Reserve Bank of Australia minutes
0930 – UK DCLG House Price Index
1000 – Eurozone CPI inflation & German ZEW survey
1230 – US Housing Starts & Import Price Index
1815 – Federal Reserve US interest rate decision

Wednesday 17th
0930 – UK average earnings, unemployment data & Bank of England minutes
1230 – US PPI inflation

Industrial Production Falls

28 July, 2011

CurrencyIndex

This morning’s UK industrial production data has come in worse than expected, in a new blow to anybody needing to send funds abroad.

January’s figures showed a 0.9% contraction in manufacturing compared to December, against an expected growth of 0.3%.

This week’s economic news

28 July, 2011

CurrencyIndex

After very little economic data out yesterday, some news coming out for the rest of this week which is likely to affect exchange rates:

Tuesday 9th
Overnight – UK RICS house price balance
0815 – Swiss CPI
0930 – UK trade balance
2330 – Australian consumer confidence

Wednesday 10th
0930 – UK industrial production
1900 – US monthly budget statement
2000 – New Zealand interest rate decision

Thursday 11th
0030 – Australian unemployment rate
0900 – European Central Bank monthly report
1300 – Swiss interest rate decision
1330 – US trade balance
2145 – New Zealand retail sales

Friday 12th
1000 – Eurozone industrial production
1200 – Canadian unemployment rate
1330 – US retail sales figures

Pound steadies as attention turns to Bank of England

28 July, 2011

CurrencyIndex

The sell-off of sterling seems to have abated – but for how long? Tomorrow the Bank of England announce whether there will be any extension to quantitative easing.

If more money is injected into the economy, the Pound is likely to fall further as this would be seen as a negative sign regarding the UK’s economic recovery.

For now, exchange rates are relatively stable so if you need to make overseas money transfers do consider your options prior to the Bank’s announcement tomorrow lunch time.

Australian Dollar at 25 year high

28 July, 2011

CurrencyIndex

Anyone emigrating this year and sending money to Australia should be aware that the Australian Dollar rates is now at its most expensive for 25 years, as the Australian economy goes from strength to strength relative to the UK.

Last night the Reserve Bank of Australia increased interest rates to 4%, which stimulates investor demans and makes the Dollar more expensive still.

If you are worried about falling exchange rates, don’t forget you can fix a rate up to 2 years ahead without having all your sterling available. Call Currency Index for details.