Exchange Rates UK presents our current <a href="/British-Pound-GBP-currency-table.html">Pound</a>, Euro and US Dollar Outlook & Forecasts - Sterling (GBP) made headway against the Euro (EUR) on Tuesday as further Euro-zone pessimism weighed upon the single currency. European Central Bank (ECB) policy measures lessened the attractiveness of holding the Euro even further and the Pound was one of the main beneficiaries.
At 12:00pm (UK Time) on Wednesday Sterling (GBP) values were such that the Pound Euro exchange rate is 1.26543 GBP/EUR (-0.13%), Pound Dollar exchange rate is 1.70503 GBP/USD (-0.08%), Pound Canadian Dollar exchange rate is 1.82841 GBP/CAD (-0.23%), Pound Australian Dollar exchange rate is 1.80451 GBP/AUD (-0.72%), Pound New Zealand Dollar exchange rate is 1.96216 GBP/NZD (-0.3%) and Pound Rand rate is 17.92724 GBP/ZAR.
The Pound (GBP) saw upside during the trading day. A report from the Confederation of British Industry (CBI) showed that 2% of UK manufacturers reported an increase in order levels during July (to date) versus 11% the previous month. The surprise drop in UK factory orders did not derail progress for the Pound on the day. See our latest Pound Sterling exchange rate update.
Goldman Sachs published a Sterling positive report predicting a continued ascent for the Pound during 2014/2015 and stated that official indicators did not reflect the true extent of the recovery. Kevin Daly, Chief UK economist for Goldman Sachs wrote that “Other indicators suggest that growth in the past year has been stronger than recorded by the official GDP data. Goldman Sachs's UK current activity indicator (CAI) – which distils information from a broad range of business surveys, labour market data and other indicators – suggests growth in the past year has been closer to 4%”
The Euro (EUR) continued to suffer erosion of value, as the market priced in further discounts on the back of ECB policy measures. The uncertainty surrounding when, how and if the Euro-zone can escape the mire at this point is resulting in a vastly reduced number of market participants willing to hold the single currency at this time.
The US Dollar (USD) held value against the Pound during Tuesday’s trading. A US Consumer Price Index print came in largely on target at 1.9%. The print appeared to show that, despite a small reduction, CPI had in the main held at the fastest pace since 2012, a fact which will reinforce the idea that the US recovery is underway.
Lee Hardman of Tokyo-Mitusbishi said that “More evidence of higher inflation in the U.S. would be seen as positive for the dollar as long as it leads to a pickup in short-term U.S. yields, if higher inflation persists, it will challenge Yellen’s dovish view that this is just a temporary phenomenon”.
The Australian Dollar (AUD) lost value against the Pound. A CPI print due tomorrow is expected to show an increase in the rate of inflation and will offer the ‘Aussie’ an opportunity to make back these losses. The print is expected to come in at 3.0%.
Latest Pound Sterling Exchange Rates - 24/07/2014
The Pound to Australian Dollar exchange rate is trading down -0.26% at 1.80031 GBP/AUD.
The Pound to Canadian Dollar exchange rate is trading down -0.26% at 1.82380 GBP/CAD.
The Pound to Swiss Franc exchange rate is trading down -0.23% at 1.53389 GBP/CHF.
The Pound to Chinese Yuan exchange rate is trading down -0.25% at 10.53579 GBP/CNY.
The Pound to Euro exchange rate is trading down -0.27% at 1.26235 GBP/EUR.
The Pound to New Zealand Dollar exchange rate is trading up +0.1% at 1.98045 GBP/NZD.
The Pound to Swedish Krona exchange rate is trading down -0.16% at 11.63920 GBP/SEK.
The Pound to Turkish Lira exchange rate is trading down -0.21% at 3.55061 GBP/TRY.
The Pound to US Dollar exchange rate is trading down -0.19% at 1.70078 GBP/USD.
The Pound to South African Rand exchange rate is trading down -0.69% at 17.80788 GBP/ZAR.