GBP EUR Exchange Rates
This week has seen a raft of economic data released for the UK and unfortunately it has not been as positived as had been expected. Aside from some good UK housing data we have seen industrial production and manufacturing data come out worse than expected, Goods Trade Balance down and most noteably a drop in Gross Domestic Product estimates. In the same week UK interest rates and the Bank of England’s Quantitative Easing (QE) were kept on hold as expected. As a result we have seen Sterling weakness and with little economic data out of note for the UK today it is possible we will finish the week down. However, the markets are very volatile and it should not be a surprise if we see the rates bounce back over the course of the next week, I still believe that Sterling Euro is still marginally undervalued at current levels but it will take something either very positive for the UK, such as lower unemployment figures (due out on Wednesday) or something very negative from Europe to push exchange rates through the elusive 1.20 level. We have seen rates test 1.20 on a couple of occassions but after each attempt it has fallen away quite quickly proving it is a tough test to breach. So, for the meantime I would expect to see rates continue to hover around the current levels but as always we cannot rule out some surprise movements. So, if you need to buy Euros make sure you stay in close contact with your currency broker here at Foreign Currency Direct plc who will be more than happy to keep you informed of the latest market movement and the different options available to you. You can call straight through to the trading floor for free on 0800 328 5884 or if calling from abroad you can call us on 0044 1494 725353, alternatively email me on firstname.lastname@example.org.
CAD Exchange Rates
Today we have Canadian employment figures and the Bank of Canada business survey released both of which could have quite an impact on Sterling Canadian Dollar exchange rates. While the expectation is that unemployment in Canada will remain relatively flat should we see any difference compared to the predicted levels we may see some CAD movement. So, if you need to buy Canadian Dollar make sure you speak with us today to discuss the options available to you.