Sterling had a steady day as most of the news was generated elsewhere. The main news was in Europe with the EU summit meeting in Brussels. At one stage sterling hit a one month low against the euro hitting resistance at €1.19/£1. Although risk aversion was heightened there was little significant movement either against the US$ or the commodity backed currencies. Call in now for the latest update and the latest news.
The EU Economic Summit seemed to be a success with progress being made on fiscal unity and stricter budget disciplines. The only country to join the UK on the sidelines was the Czech Republic. One significant step forward was the agreement of a €500 billion European Stability Mechanism which is to come into force in July this year. This is much earlier than expected. The major short term problem for the euro is the on-going talks about Greek debt. Still very slow progress is being made. Default day is the 20th March 2012. Hopefully it will all be resolved well before that. The market view seems to be that any short term strength in the euro will be short lived. Call in now for the latest update and the latest news.
In the US we had the release of personal income and expenditure figures for December. These highlighted the fall in real spending by the US population towards the end of the year and show that although the US economy is moving forward it still has a long way to go. Markets were also subdued as we wait for a raft of further economic data during the course of this week both in the US [non-farm payrolls employment report] and elsewhere [Chinese manufacturing figures].
Elsewhere the Japanese yen gained ground on increased risk aversion. The belief though is that the Japanese government will try and devalue the Yen in the short term to fuel an export led recovery. Call in now for a live exchange rate.
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Tuesday, 31 January 2012
Monday, 30 January 2012
Sterling hit a 5 week high against the US dollar on Friday on speculation that agreement would be reached over the weekend in negotiations over Greek debt restructuring. However, as we start the week this has not happened yet. In addition, sterling strengthened on Friday against the euro as a member of the Bank of England's monetary policy committee made it clear that a further round of Quantitative Easing in February's meeting was not a done deal. This week sees a wide array of sector activity data in the form of construction, manufacturing and services PMI data which will give a good idea of how the economy is performing. In addition, house price figures are released – call in now for a live exchange rate.
In the euro zone, the performance of the euro last week was a major indicator of how sentiment has improved in the region. This week's EU summit meeting will bring the issue of the European debt crisis to a fore once again. Key tasks on the agenda include completion of the framework for the 'Fiscal Compact' and formal approval of the European Stability Mechanism. Markets are sceptical that these goals will be achieved. In terms of data, there is Spanish GDP data released today that is expected to show a slight drop – however the focus will remain on Greece/ the EU summit. Call in now to avoid losing out.
In the USA, the US dollar stayed under pressure last week after the US Federal Reserve's announcement that it will keep monetary policy loose for another 2 years. The performance of the equity markets will be interesting whilst the EU summit continues. Out later this week we have a wide array of unemployment figures including the 'headline' non-farm payroll figures – call in now to avoid losing out.
Elsewhere, the Japanese yen has strengthened in the past few days on the much looser monetary policy stance in the USA. The Swiss franc looks more and more vulnerable too. In addition, the South African rand fell away from a 3 month high against the US dollar as the EU summit began in Davos. Call in now for a live exchange rate.
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In the euro zone, the performance of the euro last week was a major indicator of how sentiment has improved in the region. This week's EU summit meeting will bring the issue of the European debt crisis to a fore once again. Key tasks on the agenda include completion of the framework for the 'Fiscal Compact' and formal approval of the European Stability Mechanism. Markets are sceptical that these goals will be achieved. In terms of data, there is Spanish GDP data released today that is expected to show a slight drop – however the focus will remain on Greece/ the EU summit. Call in now to avoid losing out.
In the USA, the US dollar stayed under pressure last week after the US Federal Reserve's announcement that it will keep monetary policy loose for another 2 years. The performance of the equity markets will be interesting whilst the EU summit continues. Out later this week we have a wide array of unemployment figures including the 'headline' non-farm payroll figures – call in now to avoid losing out.
Elsewhere, the Japanese yen has strengthened in the past few days on the much looser monetary policy stance in the USA. The Swiss franc looks more and more vulnerable too. In addition, the South African rand fell away from a 3 month high against the US dollar as the EU summit began in Davos. Call in now for a live exchange rate.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
Friday, 27 January 2012
Sterling fell to a four week low against the euro on Thursday as investors became optimistic over progress in Greek debt talks and concerned over UK economic weakness. UK data from the Confederation of British Industry showed there was a far worse contraction in sales than had been anticipated. Sterling strengthened against the US dollar, hitting the highest level against the US currency since December 22nd after breaking through $1.57/£1 on stronger. However, poor GDP figures on Wednesday and the further likelihood of poor UK data are set to limit sterling’s upside against the US dollar over the longer term.
In the euro zone, the euro hit a 5 week high against the US dollar on speculation over the progress of Greek debt negotiations. Rumours circulated that Greece’s private creditors had agreed to lower the amount paid to them as interest on their bond holdings in order to reach agreement on time and avoid a messy default. This is set to dominate the headlines so call in now for a live exchange rate.
In the USA, the US dollar weakened yesterday and global stock markets gained as markets reacted to optimism over a potential solution to the Greek debt situation. In addition, the announcement earlier in the week that the Federal Reserve would keep interest rates on hold for up to 2 years helped drive risk appetite and deliver the first signs of a resurgent carry-trade. Out later today is US GDP data so call in now for a live exchange rate.
Elsewhere, Gold prices were steady at their highest level in over a month on the news of the Fed’s policy stance. Low interest rates make gold more attractive and help investors hedge against inflation, as they gain from increasing commodity prices that inevitably follows cheap borrowing costs.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
In the euro zone, the euro hit a 5 week high against the US dollar on speculation over the progress of Greek debt negotiations. Rumours circulated that Greece’s private creditors had agreed to lower the amount paid to them as interest on their bond holdings in order to reach agreement on time and avoid a messy default. This is set to dominate the headlines so call in now for a live exchange rate.
In the USA, the US dollar weakened yesterday and global stock markets gained as markets reacted to optimism over a potential solution to the Greek debt situation. In addition, the announcement earlier in the week that the Federal Reserve would keep interest rates on hold for up to 2 years helped drive risk appetite and deliver the first signs of a resurgent carry-trade. Out later today is US GDP data so call in now for a live exchange rate.
Elsewhere, Gold prices were steady at their highest level in over a month on the news of the Fed’s policy stance. Low interest rates make gold more attractive and help investors hedge against inflation, as they gain from increasing commodity prices that inevitably follows cheap borrowing costs.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
Thursday, 26 January 2012
Sterling fell against the US dollar yesterday, coming under pressure after figures showed that the UK economy contracted by more than expected in the final quarter of last year. With GDP figures showing a 0.2% contraction against an expected drop of 0.1%, there were market concerns that the Bank of England would look to ease monetary policy further. Minutes from the Bank's last meeting showed that further asset purchases were “likely”, which essentially means definitely. Sterling made some gains against the euro as investors became concerned that the ECB would have to write down holdings of Greek debt. Call in now for a live exchange rate.
In the euro zone, the euro regained ground against the US dollar after the Federal Reserve pledged to maintain a 'highly accommodative' stance to monetary policy over the next 2 years. Whilst Germany released some positive economic data yesterday, there is still concern that there has been no formalised agreement on the euro zone crisis. Until this happens markets will remain very jittery.
In the USA, yesterday saw the announcement by the FOMC – or US equivalent of the Monetary Policy Committee. It pledged to keep interest rates at between 0 -0.25% until at least mid-2013. In addition, figures showed that output at US factories rose by 0.9% last month – the highest gain since December 2010 – further delivering on the recent positive run of US economic data.
Elsewhere, the Japanese yen fell off yesterday after figures showed that the country had lodged the first trade deficit since 1980. This prompted many investors to unwind holdings in the Japanese currency – traditionally a haven for global investors, backed by the long term trade surplus. Call in now for a live rate.
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In the euro zone, the euro regained ground against the US dollar after the Federal Reserve pledged to maintain a 'highly accommodative' stance to monetary policy over the next 2 years. Whilst Germany released some positive economic data yesterday, there is still concern that there has been no formalised agreement on the euro zone crisis. Until this happens markets will remain very jittery.
In the USA, yesterday saw the announcement by the FOMC – or US equivalent of the Monetary Policy Committee. It pledged to keep interest rates at between 0 -0.25% until at least mid-2013. In addition, figures showed that output at US factories rose by 0.9% last month – the highest gain since December 2010 – further delivering on the recent positive run of US economic data.
Elsewhere, the Japanese yen fell off yesterday after figures showed that the country had lodged the first trade deficit since 1980. This prompted many investors to unwind holdings in the Japanese currency – traditionally a haven for global investors, backed by the long term trade surplus. Call in now for a live rate.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
Wednesday, 25 January 2012
Sterling regained ground against the euro yesterday after hitting a 4 week low against the currency, however the pound struggled to make many gains as investors became concerned over further economic weakness in the UK. In a speech last night, Bank of England governor Mervyn King hinted at a further round of Quantitative Easing in the coming month's meeting. Today sees the minutes from last month's meeting which are expected to elaborate on this position. In addition, we have the 1st estimate GDP figures for the 4th Quarter of 2011, which are expected to show a contraction of the eUK economy in the last 3 months of the year. Call in now for a live exchange rate.
In the euro zone, the euro remained quite resilient yesterday helped by better PMI figures on economic activity. In addition, markets shook off the news that the Greek 'PSI' deal would be delayed further after Euro zone Finance Ministers rejected the current proposal after insisting that interest payments on the re-negotiated bonds should now be below 4%. The deadline for a new agreement has now been pushed back to February 13th. There is little in the calendar from Europe today, but events are likely to be driven by activity in the UK/ USA so ensure you don't lose out and call in today.
In the USA, risk appetite has jumped overnight in Asian markets on the news late last night that iPhone maker Apple had reported a 73% rise in quarterly revenue, which saw shares in the company surge by 9% in after hours trading on the NASDAQ. Later on this evening, the focus shifts to the Federal Reserve and the FOMC interest rate meeting. This will be the first time that individual interest rate forecasts will be published. Call in now for a live price.
Elsewhere, the Royal Bank of New Zealand is likely to keep interest rates on hold at today's meeting. With Europe causing issues and inflation declining sharply, many expect the RBNZ to keep rates on hold. Call in now for a live rate.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
In the euro zone, the euro remained quite resilient yesterday helped by better PMI figures on economic activity. In addition, markets shook off the news that the Greek 'PSI' deal would be delayed further after Euro zone Finance Ministers rejected the current proposal after insisting that interest payments on the re-negotiated bonds should now be below 4%. The deadline for a new agreement has now been pushed back to February 13th. There is little in the calendar from Europe today, but events are likely to be driven by activity in the UK/ USA so ensure you don't lose out and call in today.
In the USA, risk appetite has jumped overnight in Asian markets on the news late last night that iPhone maker Apple had reported a 73% rise in quarterly revenue, which saw shares in the company surge by 9% in after hours trading on the NASDAQ. Later on this evening, the focus shifts to the Federal Reserve and the FOMC interest rate meeting. This will be the first time that individual interest rate forecasts will be published. Call in now for a live price.
Elsewhere, the Royal Bank of New Zealand is likely to keep interest rates on hold at today's meeting. With Europe causing issues and inflation declining sharply, many expect the RBNZ to keep rates on hold. Call in now for a live rate.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
Sterling regained ground against the euro yesterday after hitting a 4 week low against the currency, however the pound struggled to make many gains as investors became concerned over further economic weakness in the UK. In a speech last night, Bank of England governor Mervyn King hinted at a further round of Quantitative Easing in the coming month's meeting. Today sees the minutes from last month's meeting which are expected to elaborate on this position. In addition, we have the 1st estimate GDP figures for the 4th Quarter of 2011, which are expected to show a contraction of the eUK economy in the last 3 months of the year. Call in now for a live exchange rate.
In the euro zone, the euro remained quite resilient yesterday helped by better PMI figures on economic activity. In addition, markets shook off the news that the Greek 'PSI' deal would be delayed further after Euro zone Finance Ministers rejected the current proposal after insisting that interest payments on the re-negotiated bonds should now be below 4%. The deadline for a new agreement has now been pushed back to February 13th. There is little in the calendar from Europe today, but events are likely to be driven by activity in the UK/ USA so ensure you don't lose out and call in today.
In the USA, risk appetite has jumped overnight in Asian markets on the news late last night that iPhone maker Apple had reported a 73% rise in quarterly revenue, which saw shares in the company surge by 9% in after hours trading on the NASDAQ. Later on this evening, the focus shifts to the Federal Reserve and the FOMC interest rate meeting. This will be the first time that individual interest rate forecasts will be published. Call in now for a live price.
Elsewhere, the Royal Bank of New Zealand is likely to keep interest rates on hold at today's meeting. With Europe causing issues and inflation declining sharply, many expect the RBNZ to keep rates on hold. Call in now for a live rate.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
In the euro zone, the euro remained quite resilient yesterday helped by better PMI figures on economic activity. In addition, markets shook off the news that the Greek 'PSI' deal would be delayed further after Euro zone Finance Ministers rejected the current proposal after insisting that interest payments on the re-negotiated bonds should now be below 4%. The deadline for a new agreement has now been pushed back to February 13th. There is little in the calendar from Europe today, but events are likely to be driven by activity in the UK/ USA so ensure you don't lose out and call in today.
In the USA, risk appetite has jumped overnight in Asian markets on the news late last night that iPhone maker Apple had reported a 73% rise in quarterly revenue, which saw shares in the company surge by 9% in after hours trading on the NASDAQ. Later on this evening, the focus shifts to the Federal Reserve and the FOMC interest rate meeting. This will be the first time that individual interest rate forecasts will be published. Call in now for a live price.
Elsewhere, the Royal Bank of New Zealand is likely to keep interest rates on hold at today's meeting. With Europe causing issues and inflation declining sharply, many expect the RBNZ to keep rates on hold. Call in now for a live rate.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
Wednesday, 18 January 2012
Sterling slipped against the euro yesterday as falling inflation reinforced expectations that the Bank of England would ease monetary policy further in the coming months. UK inflation fell sharply in December with the CPI index dropping from 4.8% to 4.2% backing up the Bank of England's view that inflation may have peaked. Many now expect this to have given a green light to the Bank to open the taps on further Quantitative Easing as early as next month. Many investors are becoming more and more concerned over poor data from the UK despite poor figures largely being ignored in recent weeks as markets look for alternatives to the euro. Out later today we have unemployment claims and average earnings so call in now for a live exchange rate.
In the euro zone, the euro strengthened overnight after strong Chinese data improved risk appetite in the Asian trading session. However, with key talks resuming between Greece and its creditors later today after they broke down earlier in the week, markets are tense. Only a voluntary agreement will suffice or we could be heading towards an imminent Greek default which will cause mayhem. Call in now for a live exchange rate.
In the USA, the US dollar weakened off after risk appetite was given a boost by a record jump in German economic sentiment yesterday. In addition, data released yesterday in the USA showed that manufacturing activity increased by more than expected. With the focus on the Greek renegotiations, expect the US dollar to see some strength today as investors look towards the currency as a safe haven. Call in now for a live exchange rate.
Elsewhere, yesterday saw Chinese GDP growth come in at 8.9% - beating expectations of a 8.7% rise. The Australian dollar strengthened as a result given the strong correlation between the currency and growth in China. Call in now for a live price to ensure you don't lose out.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
In the euro zone, the euro strengthened overnight after strong Chinese data improved risk appetite in the Asian trading session. However, with key talks resuming between Greece and its creditors later today after they broke down earlier in the week, markets are tense. Only a voluntary agreement will suffice or we could be heading towards an imminent Greek default which will cause mayhem. Call in now for a live exchange rate.
In the USA, the US dollar weakened off after risk appetite was given a boost by a record jump in German economic sentiment yesterday. In addition, data released yesterday in the USA showed that manufacturing activity increased by more than expected. With the focus on the Greek renegotiations, expect the US dollar to see some strength today as investors look towards the currency as a safe haven. Call in now for a live exchange rate.
Elsewhere, yesterday saw Chinese GDP growth come in at 8.9% - beating expectations of a 8.7% rise. The Australian dollar strengthened as a result given the strong correlation between the currency and growth in China. Call in now for a live price to ensure you don't lose out.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
Tuesday, 17 January 2012
Sterling fell against the US dollar yesterday, trading within reach of an 18 month low against the US currency as investor concern over euro zone credit rating downgrades impacted on risk appetite and saw safe haven demand for US dollars. Sterling stayed well supported against the euro as issues with European downgrades and concern over a potential Greek default saw investors avoid the single currency. It was a quiet day for data in the UK, with the main focus centring on the fall out from Friday night's rating downgrades. Out today we have inflation figures that are expected to show prices beginning to fall off. Call in now for a live exchange rate.
In the euro zone, the euro floundered near a 17 month low against the US dollar yesterday and an 11 year low against the Japanese yen as Friday's mass downgrades of ratings across 9 countries threatened the lending ability of the European bailout fund. Talks to renegotiate repayments between Greece and its creditors broke down, leaving a higher and higher risk of a 'disorderly' default by the country as opposed to the carefully managed one that had been envisaged. Call in now for a live exchange rate.
In the USA, the markets were closed yesterday for a bank holiday and sterling hovered near an 18 month low against the US currency. It will be tough for the US dollar to strengthen beyond $1.52/£1 as it is a key 'technical' level for many traders. Out later today there is manufacturing figures and a wide array of corporate earnings released on Wall St. Call in now to avoid losing out.
Elsewhere, the resignation of Swiss National Bank chair Phillipp Hildebrand in the wake of several dubious foreign exchange transactions by his wife has had little or no impact on the swiss franc. After several large transactions ahead of the SNB's announcement of a target exchange rate that saw a 10% move, the chairman had been forced to resign after accusations of insider trading.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
In the euro zone, the euro floundered near a 17 month low against the US dollar yesterday and an 11 year low against the Japanese yen as Friday's mass downgrades of ratings across 9 countries threatened the lending ability of the European bailout fund. Talks to renegotiate repayments between Greece and its creditors broke down, leaving a higher and higher risk of a 'disorderly' default by the country as opposed to the carefully managed one that had been envisaged. Call in now for a live exchange rate.
In the USA, the markets were closed yesterday for a bank holiday and sterling hovered near an 18 month low against the US currency. It will be tough for the US dollar to strengthen beyond $1.52/£1 as it is a key 'technical' level for many traders. Out later today there is manufacturing figures and a wide array of corporate earnings released on Wall St. Call in now to avoid losing out.
Elsewhere, the resignation of Swiss National Bank chair Phillipp Hildebrand in the wake of several dubious foreign exchange transactions by his wife has had little or no impact on the swiss franc. After several large transactions ahead of the SNB's announcement of a target exchange rate that saw a 10% move, the chairman had been forced to resign after accusations of insider trading.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
Monday, 16 January 2012
Sterling fell against the US dollar on Friday as risk appetite dropped on rumours over an imminent mass credit rating downgrade of euro zone countries. Following the Bank of England's meeting last week analysts now widely expect a fresh round of Quantitative Easing at next month's meeting. The pound has now taken on a relative safe haven status against the euro, strengthening when markets feel concerned over the situation in the region. So far today we have seen the news that once economic forecaster believes that the UK is already in a second recession, blaming the crisis in Europe for damaging exports and high inflation for impacting consumer spending. Out this week we have inflation and unemployment figures so call in now for a live exchange rate.
In the euro zone, the euro continued to fall overnight hitting an 11 year low against the Japanese yen after rating agency S&P cut France's top AAA rating and downgraded a further 8 euro zone countries. Continuing a 6 week drop against the US dollar, investors are concerned that the downgrades will impact on a fresh round of bond auctions that starts today with a French bond issue. The overall euro zone credit rating (adjusted for GDP) is now closer to AA- and goes to show how much further the crisis has left to run. Call in now for a live exchange rate.
In the USA, the US markets are shut for Martin Luther King day today, which could exacerbate volatility as liquidity is reduced. Bear in mind that with public holidays in the USA, US dollar transactions will take an extra day. Overall though, the US dollar is on an upward trend as investors look to the safety of the US currency in the face of market turmoil in the euro zone. Call in now for a live exchange rate.
Elsewhere, there is a wide array of Chinese data released in the coming week. There is monthly industrial and retail sales updates and many expect the Chinese economy to show signs of slowing. However, most expect any slowdown to be gradual and should be offset by a US recovery.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
In the euro zone, the euro continued to fall overnight hitting an 11 year low against the Japanese yen after rating agency S&P cut France's top AAA rating and downgraded a further 8 euro zone countries. Continuing a 6 week drop against the US dollar, investors are concerned that the downgrades will impact on a fresh round of bond auctions that starts today with a French bond issue. The overall euro zone credit rating (adjusted for GDP) is now closer to AA- and goes to show how much further the crisis has left to run. Call in now for a live exchange rate.
In the USA, the US markets are shut for Martin Luther King day today, which could exacerbate volatility as liquidity is reduced. Bear in mind that with public holidays in the USA, US dollar transactions will take an extra day. Overall though, the US dollar is on an upward trend as investors look to the safety of the US currency in the face of market turmoil in the euro zone. Call in now for a live exchange rate.
Elsewhere, there is a wide array of Chinese data released in the coming week. There is monthly industrial and retail sales updates and many expect the Chinese economy to show signs of slowing. However, most expect any slowdown to be gradual and should be offset by a US recovery.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
Friday, 13 January 2012
Sterling fell to the lowest level against the euro in 7 weeks after speculation that the Bank of England will expand its Quantitative Easing programme as early as next month. The pound dropped as low as €1.1936/£1 in overnight trading after a better than expected Spanish debt auction and cautiously optimistic comments from European Central Bank President Mario Draghi. Yesterday also saw a wide array of UK retailers delivering their Christmas trading results – it was very much a mixed bag and put investors on the back foot, increasing concerns over the possibility of a double dip recession. Call in now for a live exchange rate.
In the euro zone, the euro strengthened to a 7 week high against the majority of its counterparts as ECB President Mario Draghi said that the supply of cheap money released by the central bank last month was helping to stabilise the banking system and in turn the euro zone economy. As a result, the euro made a recovery throughout the day and is back below €1.20 against sterling. However, many feel that the lack of a credible solution to the euro zone crisis is set to keep the euro under pressure over the coming months. Ensure you don't lose out by speaking to one of the team sooner rather than later.
In the USA, the US dollar came under pressure yesterday as a result of the euro recovery following the success of the Spanish bond auction that gave risk appetite a boost. However, with poor industrial figures in the UK, sterling failed to capitalise on this boost to risk and many market analysts expect sterling to continue to fall off against the US dollar in the coming weeks and months.
Elsewhere, China's foreign exchange reserves fell for the first time in a decade as foreign investment in the country fell and investors liquidated investments in emerging markets. China's foreign exchange reserve is the world's largest and has grown steadily – is it the first signs of a period of global rebalancing? We shall have to wait and see. Call in now for a live exchange rate.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
In the euro zone, the euro strengthened to a 7 week high against the majority of its counterparts as ECB President Mario Draghi said that the supply of cheap money released by the central bank last month was helping to stabilise the banking system and in turn the euro zone economy. As a result, the euro made a recovery throughout the day and is back below €1.20 against sterling. However, many feel that the lack of a credible solution to the euro zone crisis is set to keep the euro under pressure over the coming months. Ensure you don't lose out by speaking to one of the team sooner rather than later.
In the USA, the US dollar came under pressure yesterday as a result of the euro recovery following the success of the Spanish bond auction that gave risk appetite a boost. However, with poor industrial figures in the UK, sterling failed to capitalise on this boost to risk and many market analysts expect sterling to continue to fall off against the US dollar in the coming weeks and months.
Elsewhere, China's foreign exchange reserves fell for the first time in a decade as foreign investment in the country fell and investors liquidated investments in emerging markets. China's foreign exchange reserve is the world's largest and has grown steadily – is it the first signs of a period of global rebalancing? We shall have to wait and see. Call in now for a live exchange rate.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
Thursday, 12 January 2012
Sterling hit a 3 month low against the US dollar following the euro downwards as concerns grew over the euro zone crisis. Sterling dropped by 1% to a low of $1.5308/£1 – the lowest since early October – after risk appetite suffered off the back of comments by credit rating agency Fitch. The agency spooked markets with comments suggesting that the European Central Bank should do more to tackle the euro zone debt crisis. Despite falls against the US dollar, sterling held on to a 16 month high against the euro. Out later today we have the Bank of England's monthly meeting which could cause some volatility. Call in now for a live exchange rate.
In the euro zone, the euro dropped to a 16 month low against the US dollar on the comments by an official from rating agency Fitch. Investors are feeling very wary ahead of today's ECB meeting and Spanish and Italian bond auctions later in the week. Comments from Fitch made clear that the ECB should be buying Italian bonds to avoid a “cataclysmic” collapse of the euro. Call in now to ensure you don't lose out to market volatility.
In the USA, the US currency strengthened against most of its counterparts as investors looked to the safety of US government bonds in the face of a worsening situation in the euro zone. The US dollar is set for further strength so call in now for a live rate.
Elsewhere, the Canadian dollar fell for the first time in 3 days as safe haven demand for the US currency drove demand for the US dollar and pushed riskier investments lower. Speculation over the euro zone crisis and a potential French rating cut saw demand for riskier investments. Get in touch for a live exchange rate.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
In the euro zone, the euro dropped to a 16 month low against the US dollar on the comments by an official from rating agency Fitch. Investors are feeling very wary ahead of today's ECB meeting and Spanish and Italian bond auctions later in the week. Comments from Fitch made clear that the ECB should be buying Italian bonds to avoid a “cataclysmic” collapse of the euro. Call in now to ensure you don't lose out to market volatility.
In the USA, the US currency strengthened against most of its counterparts as investors looked to the safety of US government bonds in the face of a worsening situation in the euro zone. The US dollar is set for further strength so call in now for a live rate.
Elsewhere, the Canadian dollar fell for the first time in 3 days as safe haven demand for the US currency drove demand for the US dollar and pushed riskier investments lower. Speculation over the euro zone crisis and a potential French rating cut saw demand for riskier investments. Get in touch for a live exchange rate.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
Wednesday, 11 January 2012
Sterling hovered near a 16 month high against the euro on Tuesday as investor concern that the euro zone crisis will deepen saw sentiment fall towards the single currency. Sterling held on to gains against the US dollar despite a risk of sterling falling against the currency on safe haven demand from the US dollar in coming months. Out today there is trade balance data for the UK which could make interesting reading – call in now for a live exchange rate.
In the euro zone, sentiment towards the euro continued its downward spiral after Nicolas Sarkozy and Angela Merkel failed to reach a solution to the euro zone crisis on Monday and concerns grew that Greece is close to default. The more time taken by European officials over the debt crisis, the more that the euro is set to weaken against its counterparts. Out later today there is the final GDP figures for the 4th quarter of 2011 and tomorrow sees the ECB's interest rate meeting, so call in now to ensure that you don't lose out.
In the USA, the US dollar weakened marginally in US trading as market sentiment improved on the back of strong expectations for US corporate earnings and strong data being released from the USA. Data released on Monday showed that consumer credit for November expanded at an annual rate of 10% - the highest for 10 years. This increased lending is an indicator of an easing of lending restrictions by banks and a positive sign for the economy.
Elsewhere, data from China indicated that the country's trade surplus had increased by more than expected. Figures showed that the country exported $16.5bn more than it imported last month – a 13% increase on November's equivalent figures.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
In the euro zone, sentiment towards the euro continued its downward spiral after Nicolas Sarkozy and Angela Merkel failed to reach a solution to the euro zone crisis on Monday and concerns grew that Greece is close to default. The more time taken by European officials over the debt crisis, the more that the euro is set to weaken against its counterparts. Out later today there is the final GDP figures for the 4th quarter of 2011 and tomorrow sees the ECB's interest rate meeting, so call in now to ensure that you don't lose out.
In the USA, the US dollar weakened marginally in US trading as market sentiment improved on the back of strong expectations for US corporate earnings and strong data being released from the USA. Data released on Monday showed that consumer credit for November expanded at an annual rate of 10% - the highest for 10 years. This increased lending is an indicator of an easing of lending restrictions by banks and a positive sign for the economy.
Elsewhere, data from China indicated that the country's trade surplus had increased by more than expected. Figures showed that the country exported $16.5bn more than it imported last month – a 13% increase on November's equivalent figures.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
Tuesday, 10 January 2012
Sterling again traded close to a 16 month high against the euro yesterday with investors concerned over the single currency following further negative news from the euro zone. A german magazine reported that the IMF was losing confidence with Greece's ability to deal with its astronomic levels of debt. Sterling has been a major benefactor of 'safe haven' flows in recent weeks, with investors looking to the relative safety of the pound over the worsening euro. The main event for UK data is the Bank of England's interest rate decision on Thursday, where the Bank is not expected to make any changes to current monetary policy. Call in now for a live exchange rate.
In the euro zone, tension over Greece mounted yet again as the country approaches another debt repayment horizon. With the IMF losing confidence in Greece and Germany and France warning that Greece would get no further bailout funds until it agrees on a bond swap, markets became more and more concerned. Sterling has now stabilised above €1.20/£1 against the euro for the first time since September 2010. Out later today there is French industrial production data so call in now for a live price.
In the USA, investors are starting to trade a new pattern that has emerged. Until recently, strong US data would see investors sell dollars and buy euros and other riskier currencies. However, this correlation has stopped as the euro fell against the euro on Friday's better than expected non-farm payroll figures. Research in the US showed that the Fed is less and less likely to increase Quantitative Easing as the economy continues to recover. Call in now for a live price.
Elsewhere, the Canadian dollar slipped yesterday after data showed that unemployment had risen to 7.5% in December, which contrasts with the USA's relatively strong showing last week. However, this should be a good thing for the Canadian dollar as a stronger US economy would mean higher demand for Canadian goods and services.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
In the euro zone, tension over Greece mounted yet again as the country approaches another debt repayment horizon. With the IMF losing confidence in Greece and Germany and France warning that Greece would get no further bailout funds until it agrees on a bond swap, markets became more and more concerned. Sterling has now stabilised above €1.20/£1 against the euro for the first time since September 2010. Out later today there is French industrial production data so call in now for a live price.
In the USA, investors are starting to trade a new pattern that has emerged. Until recently, strong US data would see investors sell dollars and buy euros and other riskier currencies. However, this correlation has stopped as the euro fell against the euro on Friday's better than expected non-farm payroll figures. Research in the US showed that the Fed is less and less likely to increase Quantitative Easing as the economy continues to recover. Call in now for a live price.
Elsewhere, the Canadian dollar slipped yesterday after data showed that unemployment had risen to 7.5% in December, which contrasts with the USA's relatively strong showing last week. However, this should be a good thing for the Canadian dollar as a stronger US economy would mean higher demand for Canadian goods and services.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
Friday, 6 January 2012
Sterling rose to the highest level against the euro for 16 months on worries over euro zone government borrowing and as data showed a boost in UK service sector activity. The pound hit €1.2113/£1, the highest since late 2010. The view that the UK economy will outperform the euro zone was given a boost by the news that service sector activity had beaten expectations to reach the highest level since July. Sterling however dragged against the US dollar as strong US employment figures boosted the US dollar and concerns over the euro zone boosted safe haven demand for the US currency. It is a quiet day for data today, with the focus elsewhere but volatility is still set to be high so call in now for a live exchange rate.
In the euro zone, the euro continued its downward spiral yesterday hitting multi-month lows against the US dollar and the pound. The issue this week is that investors are concerned over the ability of countries to raise funds on the bond markets. Having entered a period of bond auctions, Germany’s auction this week was pretty lacklustre and France had to sell at increased interest rates to attract investors yesterday. This saw a sell-off of euros again and with markets expecting sterling to breach €1.25/£1 by mid 2012, is there a possibility that we will see this sooner?
In the USA, the US dollar strengthened yesterday after better than expected unemployment figures added to a recent run of positive data coming out of the USA. Non manufacturing activity data slipped slightly, but today’s main attraction is the non-farm payroll figures that are expected to show a boost to the number of people employed. Call in now as this number has a propensity to cause volatility.
Elsewhere, it has been a volatile week for the commodity backed currencies, with safe haven demand for the US dollar and risk aversion impacting on volatility. Interest rates in Australia could potentially be dropping in the coming weeks, so call in now to ensure you don’t lose out
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
In the euro zone, the euro continued its downward spiral yesterday hitting multi-month lows against the US dollar and the pound. The issue this week is that investors are concerned over the ability of countries to raise funds on the bond markets. Having entered a period of bond auctions, Germany’s auction this week was pretty lacklustre and France had to sell at increased interest rates to attract investors yesterday. This saw a sell-off of euros again and with markets expecting sterling to breach €1.25/£1 by mid 2012, is there a possibility that we will see this sooner?
In the USA, the US dollar strengthened yesterday after better than expected unemployment figures added to a recent run of positive data coming out of the USA. Non manufacturing activity data slipped slightly, but today’s main attraction is the non-farm payroll figures that are expected to show a boost to the number of people employed. Call in now as this number has a propensity to cause volatility.
Elsewhere, it has been a volatile week for the commodity backed currencies, with safe haven demand for the US dollar and risk aversion impacting on volatility. Interest rates in Australia could potentially be dropping in the coming weeks, so call in now to ensure you don’t lose out
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
Thursday, 5 January 2012
Sterling climbed to a 15 month high against the euro yesterday after investors sought to diversify further away from the ailing euro and looked for safety in alternative currencies. With the UK economy – despite its weaknesses – looking relatively stronger than the euro zone, investors have been moving funds into UK based holdings. With the UK economy set for a tough period as the government maintains austerity measures in order to keep the AAA rating, sterling could drop off later in the year. Call in now to ensure you take advantage of better euro rates.
In the euro zone, Germany managed to find adequate demand at an auction for 10-year government bonds yesterday but left the markets underwhelmed and concerned over the ability of sovereigns within the region to raise funding on the bond markets. The lacklustre bond issue sets up a tense few days as France looks to sell bonds on Friday and Italy and Spain do so next week. Poor demand on Thursday could be seen as a case for France losing its AAA rating, which would further dent the single currency. Call in now for a live exchange rate.
In the USA, the US dollar strengthened yesterday as risk appetite turned sour in the face of the poor bond auction in Europe. US stock markets followed European stock markets down as concerns centred on the euro crisis once more. In terms of data, it was a light day yesterday but key unemployment figures are released later today ahead of the main non-farm payroll numbers on Friday.
Elsewhere, the drop in risk appetite saw the riskier commodity backed currencies fall back marginally yesterday as investors moved out of the higher yielding currencies and into safer options. Call in now for a live exchange rate.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
In the euro zone, Germany managed to find adequate demand at an auction for 10-year government bonds yesterday but left the markets underwhelmed and concerned over the ability of sovereigns within the region to raise funding on the bond markets. The lacklustre bond issue sets up a tense few days as France looks to sell bonds on Friday and Italy and Spain do so next week. Poor demand on Thursday could be seen as a case for France losing its AAA rating, which would further dent the single currency. Call in now for a live exchange rate.
In the USA, the US dollar strengthened yesterday as risk appetite turned sour in the face of the poor bond auction in Europe. US stock markets followed European stock markets down as concerns centred on the euro crisis once more. In terms of data, it was a light day yesterday but key unemployment figures are released later today ahead of the main non-farm payroll numbers on Friday.
Elsewhere, the drop in risk appetite saw the riskier commodity backed currencies fall back marginally yesterday as investors moved out of the higher yielding currencies and into safer options. Call in now for a live exchange rate.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
Wednesday, 4 January 2012
Sterling strengthened marginally against the US dollar yesterday after better than expected data globally helped to improve risk appetite and gave support to the pound. Manufacturing sector activity in the UK improved by more than expected but still showed the sector contracting, pointing to signs of a ‘double-dip’ recession in the coming months. Whilst sterling has benefited against the euro due to the European debt crisis, many feel that this ‘safe haven demand’ is glossing over cracks in the UK economy that could see it enter recession again in 2012. Either way, ensure that you take advantage of better exchange rates as sterling was in a similar position against the euro at the start of 2011 but failed to reach those levels again until December.
In the euro zone, the euro strengthened slightly against the US dollar and sterling yesterday after German unemployment figures came in far better than expected. Data showed that unemployment fell by 22,000 – 13,000 more than had been expected. Despite this boost to risk appetite, persistent worries over high sovereign debt levels in the region and a lack of solutions to a crisis that is now entering its 3rd year are set to keep the euro under pressure. Out today there is services activity figures so call in now for a live price.
In the USA, better than expected manufacturing figures saw the US dollar slip off as risk appetite increased. In addition, data showed an increase in spending on construction. The minutes from the Federal Reserve’s recent meeting yesterday evening showed that the Fed will now publish its interest rate forecasts in a bid to become more transparent. Call in now for a live exchange rate.
Elsewhere, tension is increasing in the Gulf as new US and EU sanctions take their toll on the Iranian economy. The Iranian riyal has fallen by nearly 40% against the US dollar in the last month as investors scramble to move savings into US dollars to protect themselves. There were also concerns as Iran threatened to take action against the US Navy if it moves an aircraft carrier back into the Persian Gulf, which has seen oil prices jump on fears over supply. Call in now for a live exchange rate.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
In the euro zone, the euro strengthened slightly against the US dollar and sterling yesterday after German unemployment figures came in far better than expected. Data showed that unemployment fell by 22,000 – 13,000 more than had been expected. Despite this boost to risk appetite, persistent worries over high sovereign debt levels in the region and a lack of solutions to a crisis that is now entering its 3rd year are set to keep the euro under pressure. Out today there is services activity figures so call in now for a live price.
In the USA, better than expected manufacturing figures saw the US dollar slip off as risk appetite increased. In addition, data showed an increase in spending on construction. The minutes from the Federal Reserve’s recent meeting yesterday evening showed that the Fed will now publish its interest rate forecasts in a bid to become more transparent. Call in now for a live exchange rate.
Elsewhere, tension is increasing in the Gulf as new US and EU sanctions take their toll on the Iranian economy. The Iranian riyal has fallen by nearly 40% against the US dollar in the last month as investors scramble to move savings into US dollars to protect themselves. There were also concerns as Iran threatened to take action against the US Navy if it moves an aircraft carrier back into the Persian Gulf, which has seen oil prices jump on fears over supply. Call in now for a live exchange rate.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
Tuesday, 3 January 2012
Sterling has started the New Year much where it left off, hovering just under €1.20/£1 against the euro and at $1.5570/£1 against the US dollar. With many currency market traders beginning to return to work after the Christmas break, many expect that volatility will increase again after a relatively quiet week. As we start 2012, many analysts expect sterling to strengthen against the euro as the debt crisis worsens. Against the US dollar, some feel that sterling will fall as investors move money into the safe haven currency, but others feel that there is scope for sterling to strengthen as the US government struggles to deal with its deficit and continues to bicker over budgets and spending. This week we have a wide array of sector activity data in the form of PMI figures kicking off with manufacturing data today. Call in now for a live exchange rate.
In the euro zone, the euro suffered throughout December, dropping to an 11 ½ month low against sterling in the last week of the year. ‘Shorts’ of the euro – i.e. trades betting that the euro will fall – have increased to record highs in recent weeks and Europe is set to remain as the market focus for the coming months. This week sees bond market auctions in Germany and France which will most likely draw some attention alongside German unemployment figures later today.
In the USA, key events this week include the minutes from the most recent Federal Reserve interest rate meeting that are released today. With more buoyant data coming out of the USA, the minutes might show that the committee are feeling more positive about the US recovery. Friday sees key data in the form of non-farm payroll unemployment data so call in now for a live exchange rate.
Elsewhere, the Danish krone has begun to show signs of safe haven demand as the euro zone crisis has deepened. The Scandinavian currencies could potentially start to strengthen against others as they are not as embroiled in the credit crisis as many other countries. Call in now for a live exchange rate.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
In the euro zone, the euro suffered throughout December, dropping to an 11 ½ month low against sterling in the last week of the year. ‘Shorts’ of the euro – i.e. trades betting that the euro will fall – have increased to record highs in recent weeks and Europe is set to remain as the market focus for the coming months. This week sees bond market auctions in Germany and France which will most likely draw some attention alongside German unemployment figures later today.
In the USA, key events this week include the minutes from the most recent Federal Reserve interest rate meeting that are released today. With more buoyant data coming out of the USA, the minutes might show that the committee are feeling more positive about the US recovery. Friday sees key data in the form of non-farm payroll unemployment data so call in now for a live exchange rate.
Elsewhere, the Danish krone has begun to show signs of safe haven demand as the euro zone crisis has deepened. The Scandinavian currencies could potentially start to strengthen against others as they are not as embroiled in the credit crisis as many other countries. Call in now for a live exchange rate.
Get a live quote and/or more information from Smart Currency at: http://www.smartinternationaltrade.co.uk/
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