Foreign Exchange Daily Market Update 13/05/2015

Wed, May 13, 2015

KBR Foreign Exchange Plc. (KBRFX) identified in London Stock Exchange’s ‘1000 Companies to Inspire Britain’. 

KBRFX has made the London Stock Exchange's Second Edition of 1000 Companies to Inspire Britain. 1000 Companies to Inspire Britain is an annual celebration of some of the fastest-growing and most dynamic small and medium-sized enterprises (SMEs) in the UK

Full Press Release

Carney Halts Pound’s election rally as BOE cuts growth outlook

The Pound halted a three-day rally against the dollar after the Bank of England cut its economic-growth forecasts through 2017 and said inflation would remain subdued.

Sterling also halted gains made against the euro on Wednesday that was made when data showed the U.K. labour market has increased, with wage growth increasing in March more than had been estimated. BOE policy makers led by Governor Mark Carney said inflation should return to target in two years and endorsed the view for gradual interest-rate increases that may not start until the middle of next year

The Inflation Report has taken the shine out of the wage data.  However, the downside to pound will be limited as the report is clearly focusing upon a snapshot prior to recent political and economic developments.

The U.K. unemployment rate fell to 5.5% in the first quarter, the lowest since 2008, from 5.6. Wages grew an annual 1.9% in the same period, with regular pay jumping 2.2% -- the biggest increase since 2011.

The Pound was little changed at $1.5654 at 11:13 a.m.  It touched $1.5747, the highest since Dec. 17, after the wage data earlier today. Sterling weakened 0.2% to €1.396 against the Euro after touching €1.4035, the strongest level since April 23.

Earlier today, the Pound had rose to its highest level this year against the Dollar as volatility has dropped since the Conservative Party secured an outright majority win.

Euro-area economic growth has increase in the first quarter as stronger-than-predicted performances from France and Italy made up for weaker momentum in Germany.

Gross domestic product in the region rose 0.4% in the first three months of the year after increasing 0.3% in the previous three months.  Greece has fallen back into recession

Data to look out today.   

13:30 US Advance Retail sales

CURRENCY PAYMENTS MADE SIMPLE

PRESS RELEASE

KBRFX was mentioned in the Essex Chronicle for the top 100 companies by turnover in Essex http://www.essexchronicle.co.uk/100-Essex-businesses-revealed-annual-survey/story-25140555-detail/story.html

Data Releases