Sterling remained steady against the US dollar yesterday and was slightly down versus the euro. With increasing market rumours that Greece will hold off on a default, market players felt somewhat confident and invested in riskier currencies. Expectations the Bank of England will put more quantitative easing on the table continues. Due to this, the pound is likely to remain weak for some time. Out today is net consumer credit for the month of August. Call in now for a rate.

In the Euro zone, the euro rose 0.5% versus the US dollar and the pound. This was largely due to cautious optimism that the correct measures are now being taken to handle the debt crisis. Yesterday, German Chancellor Angela Merkel announced she will wait for a report on Greece’s progress before deciding on whether Germany will help fund a second bailout package. Germany is feeling the stresses of having to bailout financially weak countries, however, many feel Greece will meet targets and as a result, Germany will approve. Out tomorrow is German retail sales data. Call in now for a quote.

In the US, the US dollar weakened versus the euro due to a slight rise in risk appetite. The US dollar also made slim losses versus sterling. The latest economic data revealed US durable goods orders declined by 0.2% in August. This was mostly due to a decrease in demand for cars. Though it was in line with expectations, many are concerned that the US economy is not on a robust recovery, especially when housing and consumer confidence data is low. Out today are GDP figures, this may cause significant movement, so call in now for a rate.

Elsewhere, China allowed the yuan daily currency peg reference rate to strengthen to its highest level since July 2005. The country remains determined to regulate inflation by having a stronger currency and this will be seen as a positive move by the US who have been arguing for a stronger yuan for years. Call in now for a quote.

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