Thu, February 09, 2012
The Pound finished lower against the US Dollar and the Euro in the foreign exchange market yesterday. The GBP/EUR exchange rate picked up from 1.1989 at the morning’s open to trade down to 1.1933 by the close of the UK business day, with the GBP/USD exchange rate declining from 1.5917 at the day’s open to trade down to the low of the day at 1.5795, which has become a strong support area before closing at 1.5818 at the European market close. There was no significant economic data for the UK yesterday, but the GBP/USD pair trended lower throughout the session ahead of the BOE Monetary Policy meeting which is expected to result in a likely expansion of the asset purchase facility.
Today from the UK we are looking out for the BOE Asset Purchase Target expected at £325bln vs. £275bln and the BOE Rate decision both due at 12:00 GMT. Prior to this we will look out for the UK Industrial and Manufacturing Production across the year due at 9:30 GMT.
The Euro declined against the pound and the US Dollar in the currency exchange market yesterday. The EUR/USD exchange rate declined slightly from the mornings open at 1.3272 to trade at 1.254 by the European market close. Yesterday morning we saw the German Trade Balance decline from €15.9bln to €12.9bln for the month of December and the German Current Account increased from €14.7bln to €19.3bln. also Exports and Imports in Germany declined for the month of December coming in at -4.3% vs. 2.6% for Exports and -3.9% vs -0.2% for imports.
Today from the Euo-zone we will see the ECB Rate Decision due at 12:45 GMT, which is expected to be unchanged by economists.
The US Dollar gained against the Pound and Euro currencies yesterday. Economic data from the US was fairly light, with US MBA Mortgage Applications rose from -2.9% to 7.5%
Today from the US we will look out for the 13:30 GMT US Initial and Continuing jobless claims, both are expected to increase with Initial claims expected at 370k vs. 367k and 3505K vs. 3437k for continuing claims.
This Daily Market Update is brought to you by The Market Team @ KBRFX – Exchange Rate, Currency Conversion & Foreign Currency Transfer specialists.
| Day | Time | Currency | Event |
|---|---|---|---|
| THU | 07:45 | EUR | EUR French Survey of Industrial Investments | THU | 09:30 | GBP | GBP Industrial Production (MoM) | THU | 09:30 | GBP | GBP Industrial Production (YoY) | THU | 09:30 | GBP | GBP Manufacturing Production (MoM) | THU | 09:30 | GBP | GBP Manufacturing Production (YoY) | THU | 09:30 | GBP | GBP Visible Trade Balance (Pounds) | THU | 09:30 | GBP | GBP Trade Balance Non EU (Pounds) | THU | 09:30 | GBP | GBP Total Trade Balance (Pounds) | THU | 12:00 | GBP | GBP BOE Asset Purchase Target | THU | 12:00 | GBP | GBP Bank of England Rate Decision | THU | 12:45 | EUR | EUR European Central Bank Rate Decision | THU | 13:30 | USD | USD Initial Jobless Claims | THU | 13:30 | USD | USD Continuing Claims | THU | 15:00 | USD | USD Wholesale Inventories | THU | 15:00 | GBP | GBP NIESR Gross Domestic Product Estimate | THU | 15:30 | USD | USD EIA Natural Gas Storage Change |
| GBP/USD | 1.5842 |
|---|---|
| GBP/EUR | 1.1906 |
| EUR/USD | 1.3300 |
| GBP/JPY | 122.20 |
| GBP/CHF | 1.4411 |
| GBP/AUD | 1.4649 |
| GBP/CAD | 1.5755 |
| GBP/NZD | 1.8925 |
| GBP/SGD | 1.9706 |
| GBP/HKD | 12.2835 |
| GBP/CZK | 29.49 |
| GBP/PLN | 4.9758 |
| GBP/SEK | 10.4942 |
| GBP/DKK | 8.851 |
| GBP/NOK | 9.0801 |
| GBP/THB | 48.677 |
| GBP/ZAR | 11.9672 |
*These are indicative rates only, based on interbank prices at the time of writing. For exact rates please contact our dealing team
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