Wednesday, 29 December 2010

Sterling remains weak in thin holiday trading

29th December 2010
Good morning. I hope everybody enjoyed the Christmas break. Little has happened during the Bank Holidays in the markets, and sentiment for Sterling is still weak following last weeks weak economic data. Today we'll look at the data released in the run up to the New Year break. Rates at 08:30am this morning are as follows:
  • GBP/EUR 1.1715
  • GBP/USD 1.5372
  • GBP/AUD 1.5163
  • GBP/NZD 2.0184
  • GBP/CAD 1.5334
  • GBP/CHF 1.4641
  • GBP/ZAR 10.266
  • GBP/JPY 126.22
  • GBP/HUF 326.43
  • GBP/HKD 11.960
  • EUR/USD 1.3119

Sterling remains weak following poor data

Last week a run of poor data including Housing figures and negative comments from the Bank of England caused the pound to fall against major currencies such as the Euro and US Dollar.

Little has happened to change this during the Christmas break. Trade is very thin and likely to remain so this week, and so we don't expect any huge changes. In the thinned holiday trade however, any economic news that surprises the markets could have a bigger impact than usual.

Despite the thin trade there are still data releases and trades happening, so contact us today to discuss your currency requirement, and find out how much you could save with our commercial rates of exchange.

This Weeks Economic Data

Wednesday

German Consumer Price Index data is released today along with Money Supply data from the Eurozone.

Thursday

From the USA today we see some jobless and employment figures. The USD has been strengthening of late, and further better data may push GBP/USD rates lower.

Friday

UK data today is Consumer Confidence and Housing data. Last week poor housing data weakened the pound, and further poor figures could weaken Sterling further.

If you are looking for the best exchange rates, click the link below to send us an enquiry, and have a free consultation on what's happening in the currency markets.