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Exchange Rate News

28 July, 2011

CurrencyIndex

Weekly Exchange Rate and Currency Update 16/2/09

With uncertainty in the financial markets set to continue, a summary of this week’s major data announcements which could affect exchange rates and currency movements. All times are GMT.

Pound Sterling
Tuesday 0930 – UK consumer and retail price index
Wednesday 0930 – Bank of England minutes
Wednesday 1100 – UK industrial trends survey
Thursday 0930 – public sector net borrowing

If you are sending money abroad, the value of your Pound could be volatile during these announcements, specially the Bank of England minutes on Wednesday which give the results of the MPC’s last interest rate vote earlier this month.

Eurozone
Tuesday 1000 – Eurozone trade balance

Canadian Dollar
Monday 1330 – Canadian investment data

Sending money to Canada has been increasing in cost due to the weak Pound – this release is not a major one but could make a difference to your Canadian dollar exchange rate.

US Dollar
Tuesday 1800 – US housing market index
Wednesday 1330 – US housing starts and building permits
Thursday 1330 – US producer price index

As the US dollar has been strengthening in recent weeks, look to these data releases for clues as to the Greenback’s future direction.

Swiss Franc
Thursday 1000 – ZEW business sentiment survey

Transferring money to Switzerland, whose Franc is seen as a ‘safe haven’ currency, has not been helped by the recent financial problems in the UK. In risky climates, investors tend to buy safe currencies and assets such as the CHF, which means demand increases and the currency therefore becomes more expensive.

Canadian Dollar Exchange Rates

28 July, 2011

CurrencyIndex

If you need to send money to Canada in the near future, keep an eye on Monday’s Canadian retail sales data, released at 1.30pm UK time.

Canadian Dollar rates have been falling for some time, as the Pound has been losing ground across the board. A positive reading on Monday is likely to strengthen the Canadian Dollar, making exchange rates worse if you send funds across the pond.

Don’t forget, a currency broker will enable you to save money against using your bank, and also offer the facility to fix exchange rates up to 2 years ahead. If you are emigrating, fixing your exchange rate can sometimes save you thousands of pounds, without needing all your sterling available.

South African Rand stays steady

28 July, 2011

CurrencyIndex

Historically, the South African Rand has been a volatile currency while many others stayed steady against the Pound. However, with the recent financial volatility in the financial markets, the Rand has been relatively stable.

Sending money to South Africa is therefore becoming an increasingly attractive option for investors in overseas property. The best South African Rand rates have remained within a manageable range over the last 12-18 months.

Of course, using a currency broker such as Currency Index Ltd will save money compared to using typical high street banks.

Today’s Exchange Rate Update

28 July, 2011

CurrencyIndex

Mid-market rates at 1700 GMT:

Sterling – Euro = 1.1090
Sterling – US Dollar = 1.4233
Sterling – Australian Dollar = 2.1829
Sterling – New Zealand Dollar = 2.7275
Sterling – South African Rand = 14.3150
Sterling – Canadian Dollar = 1.7758

The Pound has followed yesterday’s dip with further losses against major currencies, with US Dollar exchange rates particularly volatile after good retail sales data released earlier on.

European data out showed weak production figures, but the Euro failed to move much, finishing about a cent lower than yesterday. A Pound now buys Euros for overseas transfer just above the 1.10 mark.

Friday sees Eurozone GDP data released in the morning, as well as German data and US consumer sentiment in the afternoon. There are no major releases scheduled for the Pound.

Make sure you are in touch with a currency broker if you need to send or receive any payments in foreign currency.

Today’s Exchange Rate Update

28 July, 2011

CurrencyIndex

The Pound has followed yesterday’s losses with a further drop against major currencies. The Bank of England’s governor Mervyn King spoke of a deep recession in the UK which has dented confidence further in the UK economy, leading to sell-offs for the Pound.

Tomorrow sees the monthly report from the European Central Bank’s, as well as US jobless claims in the afternoon, so it could be another volatile day on the forex markets. For those of you sending money to New Zealand, tomorrow night could also be key with NZ retail sales announced.

Whether you need to send or receive any currency, make sure you have a reliable currency broker working to get you the best available exchange rates.

Will the Pound continue upwards?

28 July, 2011

CurrencyIndex

The Pound has had a fantastic run in the last 10 days, yielding the best exchange rates for Euros, Dollars and a basket of other currencies, that we have seen this year.

Is it set to continue? There is no easy way to tell of course, and with no major data releases today, there is unlikely to be much further movement until tomorrow morning’s UK trade balance figures at 9.30am. Wednesday’s quarterly inflation report will be more important still.

If you need to send money abroad it’s easy to assume that exchange rates will continue on their way back up. But don’t forget the UK’s perilous economic situation – just one piece of bad news can knock confidence in the market and drag the Pound back down to where it came from.

The main thing to remember is that a specialist currency company can help you through the whole transaction as well as offering competitive exchnage rates. Anyone needing to buy or sell currency should get in touch sooner rather than later.

Exchange Rates Up on Bank of England cut

28 July, 2011

CurrencyIndex

Exchange rates for Euros, Dollars and many other currencies are up this afternoon – the Bank of England cut UK interest rates, but only by 0.5%, giving the Pound a welcome boost on top of this morning’s news that house prices were up in January.

The UK is still heading for a deep recession but some good news means that currency brokers can now offer the best exchange rates seen for some time. This could be a spike in the market, so if you need to send money overseas, have a think about getting a fixed exchange rate now.

Interest rates today

28 July, 2011

CurrencyIndex

Today sees the Bank of England and European Central Bank both announcing their monthly interest rate decisions.

If the BoE cuts rates at mid-day, you might expect to see the Pound weaken and for those of you who need to send money abroad that would not be good news.

However, Euro exchange rates will also be affected by the ECB’s announcement 45 minutes later, which could swing things either way.

Whatever happens, make sure you are in touch with an experienced dealer at a currency company who can help you with your individual requirements.

Pound drifting back down

28 July, 2011

CurrencyIndex

After a surge last week and on Friday, the Pound today has fallen back a little giving slightly worse Euro rates and Dollar rates for those of you needing to make international payments.

However, exchange rates are still above 1.10 (€) and 1.43 ($) on international money markets, much better than just a week ago for buying Euros in particular.

Spikes in the market like this are not uncommon during these volatile times, get in touch with an expert currency broker to make sure you are aware of the day-to-day movement which can affect your payments so much.

Canadian Interest Rates Cut

28 July, 2011

CurrencyIndex

The Bank of Canada last week cut interest rates from 1.5% to just 1%, in line with many other central banks around the world.

Normally an interest rate cut would be good news if you need to send money to Canada, however as the move was wideley expected there was little cheer on Canadian exchange rates.

Things have improved slightly in the last 2 days, but as the Pound is still under pressure on international markets, it may be that your rate gets worse before it gets better.

A reputable currency company will help guide you through these volatile times – make sure you don’t leave your exchange rate to chance.