GBP Exchange Rates
Following the positive inflation news yesterday for the UK today we have the latest set of Bank of England (BoE) minutes from their latest interest rate decision and also Retail Sales figures from last month. The minutes will give an insight into what was discussed at the earlier BoE interest rate decision including whether there was any talk about amending the level of Quantitative Easing or whether they discussed the merit of increasing interest rates. We already know that the BoE did not amend either Quantitative Easing or interest rates but with the continued improved economic data for the UK there is an outside chance that the central bank will have discussed amending interest rates and this could provide a boost for Sterling exchange rates. The Retail Sales figures are predicted to come out better than the previous month which could be good news for the Pound however the recent negative figures from Marks and Spencers could mean the figures are not as strong as expected.
This afternoon we have the latest set of minutes from this month’s Federal Reserve Bank of America which will, similarly to the BoE announcement, provide an insight into what was discussed at this months interest rate decision. The main focus for this will be the continued tapering of America’s asset purchasing programme (their equivalent of our Quantitative Easing) which is currently being reduced by $10bn per month. Should they have discussed reducing this by any more than the $10bn or possibly even slowing down the tapering then we may see some volatility for the USD.
So, with some key economic data for both the UK and US it could be another busy day on the currency markets especially with for Sterling US Dollar exchange rates. So, if you would like to discuss your currency requirements and the options available to you then please call our team of experienced currency brokers for free on 0800 328 5884 or if calling from abroad call us on 0044 1494 725353.