Note: the foreign currency rates above, revised as of 14th August 2015, are inter-bank prices that will incur an extra cost by your bank for any global money transfer requirements.
British data failed to meet with estimates on Friday which caused an initial Sterling downtrend during Friday’s European session.
The Pound Sterling (GBP) has gained by a marginal 0.1% against the Euro (GBP/EUR) today, after the UK June yearly and monthly Construction Output figures showed growth of 2.6% and 0.9% respectively. However, the Pound recovered losses as Friday’s European session progressed.
The Pound Sterling to Euro (GBP/EUR) exchange rate is now trending in the region of 1.4032. French Gross Domestic Product stagnated, German growth missed estimates as did Italian and Portuguese GDP. Fed Rate Hike Predictions Pared after Chinese Developments, AUD, NZD Movement ForecastThe move from the PBoC has proved equally unpopular with policymakers in the world’s premier economy. The single currency has moved through 1.11 against the Dollar this week and there has been some positive news in the Eurozone with Greece moving ever closer towards its third bailout agreement.
The Pound to Euro exchange rate: GBP/EUR conversion is 1.401.
GBP/USD remains fixated within a tight sideways-orientated range defined by 1.54 to the bottom and 1.57 at the top. This is because British inflation dropped to 0.0% previously, and many fear a drop into deflation.
Elsewhere, the dollar was steady against the pound, with GBP/USD at 1.5614 and higher against the Swiss franc, with USD/CHF rising 0.25% to 0.9777.
Thus far, North American data has produced positive results.
The dollar extended gains against the other major currencies on Thursday, after data showed that U.S. jobless claims rose more than expected last week, but held near the lowest level since November 1973, while U.S. retail sales increased more than expected in July. July’s Industrial Production bettered estimates of 0.3% growth, with the actual result reaching 0.6%.
The Euro fell by -0.5% against the Indian Rupee (EUR/INR) today, but saw a gain of 0.2% against the Polish Zloty (EUR/PLN) and a 0.4% rise against the South African Rand (EUR/ZAR).
The Western Union analyst makes an important point – much of the upside in the pound to dollar exchange rate has been a function of US weakness rather than pound strength.