This week's currency news

This week looks fairly quiet for data, with the Christmas holiday approaching. We do however have a triple-whammy of important UK data on Wednesday morning, with the Bank of England minutes, GDP and current account all released at the same time.

Given the Pound's volatility in recent weeks, contact Currency Index if you would like to be kept informed of any movement and opportunities to secure your rate.

Monday 20th
1500 - Eurozone consumer confidence

Tuesday 21st
Overnight - UK consumer confidence
0715 - Swiss trade balance
0930 - UK public borrowing
1200 - Canadian CPI inflation
1330 - Canadian retail sales
2145 - New Zealand current account

Wednesday 22nd
0930 - UK current account, GDP & Bank of England minutes
1500 - US home sales
2145 - New Zealand GDP

Thursday 23rd
0930 - UK mortgage approvals
1330 - Canadian GDP & US durable goods orders

Friday 24th
No major data - Christmas Eve

Retail sales up 0.3% in November

This morning's retail sales figures showed a 0.3% increase in November, broadly in line with expectations. October's figure was revised up to 0.3% from 0.1%, which improved the year-on-year figure further.

The Pound gained a little strength on the release of the figures, although nothing like enough to counter the losses we have seen this week.

UK consumer confidence is released overnight but there is no other major data due out.

Unemployment figures hurt sterling

This morning's figures showed UK unemployment has risen to 2.5m - the first monthly rise for 6 months. The new number equates to an unemployment rate of 7.9%.

As the Pound is so sensitive to any news around economic recovery, sterling has predictably been falling. We have lost nearly a cent against both the Euro and US Dollar.

Tomorrow morning's retail sales data have the potential to bring exchange rates back up a little, but any more bad news for the UK is likely to weigh heavy on the Pound through the Christmas period.

Pound finds no support

Sterling has fallen across the board today, as a few neutral or negative UK data releases were accompanied by stronger figures in the Eurozone and USA.

UK: CPI inflation as expected, house prices lower than expected
Eurozone: economic sentiment better than expected
USA: retail sales double expected growth

The net result has been a stronger (more expensive) Euro and US Dollar, with other currencies following suit.

Tomorrow morning we have UK unemployment data at 9.30am, and the Pound remains vulnerable to any further negative news.

This week's currency news

As 2010 draws to a close, this week sees the last round of inflation data from the UK, Europe and USA. Inflation is crucial as it dictates how much flexibility there is in an economy to change interest rates, which in turn are a major influence on exchange rates.

This week may provide opportunities to buy before we enter the quieter Christmas period. Whatever your requirements for exchanging currency, contact Currency Index to make sure we can keep you updated with the latest news and rates.

Monday 13th
Overnight - Rightmove house prices
0930 - UK PPI inflation
2145 - New Zealand retail sales

Tuesday 14th
0930 - UK CPI & RPI inflation
1000 - German ZEW survey
1330 - US retail sales & PPI inflation
1915 - US interest rate decision

Wednesday 15th
0930 - UK unemployment & earnings
1330 - US CPI inflation

Thursday 16th
0730 - Swiss interest rate decision
0930 - UK retail sales
1000 - Eurozone CPI inflation
1330 - US jobless claims

Friday 17th
1000 - Eurozone trade balance

Currency Index in the news

Currency Index were interviewed again on BBC One today, as the collapse of Crown Currency Exchange was investigated on the programme "Rip Off Britain". You can see the programme on the BBC iPlayer here.

No change from Bank of England

The Bank of England left interest rates and quantitative easing on hold at its monthly policy meeting today, as expected.

Elsewhere, the European Central Bank in its monthly report reduced its forecast for Eurozone growth next year, while maintaining that the single currency area is still on track for recovery. It added that current interest rates are appropriate, given the debt problems in some Euro countries.

In the USA, jobless claims came out better than expected, but for the Pound, exchange rates across the board remain broadly unchanged.

Pound improves

Rates for sending money abroad have improved across the board in the last 24 hours, after weak German trade balance data this morning helped to further weaken the Euro in particular.

Tomorrow we have some more important announcements, all likely to affect rates: UK house prices and trade balance, along with the ECB monthly report and German CPI inflation.

Egyptian Pounds now available

If you need to send money to Egypt, Currency Index can now supply Egyptian Pounds for transfers at commercial rates.

Contact us for a quote if you are buying property in Egypt, and see how much you can save compared to using your bank.

This week's currency news

This week we have interest rate decisions in the UK, Australia, New Zealand and Canada, along with Quantitative Easing policy at the same time in the UK.

Problems in the Eurozone continue to make the headlines, along with the prospect of further monetary easing in the USA. For the latest news and live exchange rates for your own transaction, contact Currency Index.

Monday 6th
0930 - Eurozone investor confidence

Tuesday 7th
0330 - Australian interest rate decision
0645 - Swiss unemployment rate
0930 - UK industrial & manufacturing production
1400 - Canadian interest rate decision

Wednesday 8th
0700 - German trade balance
2000 - New Zealand interest rate decision

Thursday 9th
0030 - Australian unemployment rate
0700 - German CPI inflation
0900 - European Central Bank monthly report
1200 - UK interest rate decision

Friday 10th
0930 - UK producer price index
1330 - US trade balance
1900 - US monthly budget statement

German unemployment weakens Euro further

This morning's German unemployment figures have added to the problems in the Eurozone, with a recorded fall of 9,000 compared to expectations of 18,000. Unemployment in the Eurozone overall is now running at 10.1%.

The Euro has weakened further (become cheaper) today while the US Dollar, which is mirroring the Euro's movements at the moment, has strengthened.

For the latest rates please contact your account manager at Currency Index.

This week's currency update

This week the main story is likely to be the continuing developments of the Irish bank bailout - and whether there will be any knock-on effects elsewhere in the Eurozone. For now the Euro has started to strengthen.

Elsewhere we have economic releases in Australia, Canada, the USA and Switzerland, all likely to affect rates for sending money abroad. Contact your foreign exchange broker for the latest rates and news.

Monday 29th
0930 - UK mortgage approvals & money supply
1000 - Eurozone economic & consumer confidence
1330 - Canadian current account

Tuesday 30th
Overnight - UK consumer confidence
0030 - Australian current account
1000 - Eurozone unemployment & CPI inflation
1330 - Canadian GDP
1500 - US consumer confidence

Wednesday 1st
0030 - Australian GDP
0700 - UK Nationwide house prices
0900 - Eurozone manufacturing inflation
0930 - UK manufacturing inflation
1500 - US manufacturing & construction

Thursday 2nd
0030 - Australian retail sales & trade balance
0645 - Swiss GDP
1000 - Eurozone GDP & PPI inflation
1245 - Eurozone interest rate decision
1330 - US jobless claims

Friday 3rd
0815 - Swiss CPI inflation
1000 - Eurozone retail sales
1200 - Canadian unemployment
1330 - US non-farm payrolls & unemployment rate

Portugal next for EU bailout?

The Eurozone is urging Portugal to seek aid. Portugal’s bonds fell on concern they will follow Ireland and Greece and present a formal request to Europe's rescue fund, similar to that of Ireland earlier in the week.

As a result the Euro has been slowly weakening (getting cheaper) this week, and we now have the best rates for sending Euro payments since mid-September. Conversely, investors are buying up US Dollars, which has brought the exchagne rate down to its worst level for a month.

GDP revised slightly upwards

This morning's GDP figures showed a slight upward adjustment to previous figures for the third quarter of the year.

The UK economy grew 0.8% in the 3 months to the end of September, or 2.8% in the 12 month period.

Sterling gained slightly on the news, and with no more major UK data out this week, securing a rate for your overseas transfer now is looking reasonable.

Euro falls, Dollar rises

The Euro has weakened significantly today, as the political problems in Ireland continue.

The main move has been between the Euro and US Dollar, which has been back in demand as a "safe haven" currency.

The result is something of a see-saw with the Pound stuck in the middle. We have improved rates for sending money in Euros, but worse rates for buying US Dollars.

Tomorrow's UK GDP figures are likely to turn focus back to sterling, so if you need to secure Euros in particular you might like to contact Currency Index for a quote before the data release at 9.30 am.

Currency news this week

The main release this week is the second estimate of Q3 GDP, which is published on Wednesday. Any downward adjustment in the UK's official growth figures would be likely to hurt sterling.

We also have the breaking news of the EU bailout of the Irish economy. Although you might expect the Euro to weaken as a result, the UK is also likely to contributing billions via the EU, so the Pound is not immune to any fallout.

This week's full calendar of releases likely to affect exchange rates is below. Contact Currency Index for the latest rates for your own transactions, and views on what might happen this week and further ahead.

Monday 22nd
1500 - Eurozone consumer confidence
1615 - Speech: European Central Bank President Trichet

Tuesday 23rd
0200 - New Zealand inflation expectations
0700 - German GDP
0900 - Eurozone manufacturing & services growth
0930 - UK mortgage approvals
1200 - Canadian CPI inflation
1330 - US GDP & Canadian retail sales
1900 - US Federal Reserve minutes

Wednesday 24th
0930 - UK GDP second estimate Q3
1330 - US jobless claims & personal expenditure

Thursday 25th
US bank holiday (Thanksgiving)
0815 - Swiss employment level

Friday 26th
No major data

Sterling recovers yesterday's losses

Having fallen back yesterday, sterling has recovered somewhat today, despite public borrowing figures this morning being much worse than expected at £9.77bn for October.

Retail sales figures were not so bad, and with the possibility of an Irish economic bailout looking more likely, the Euro is also struggling. Against the US Dollar, rates have also recovered, as volatility continues in fragile economic recoveries.

There is no major data out tomorrow, but we have speeches from the Federal Reserve chairman (Ben Bernake) and European Central Bank president (Trichet), at 2.15pm and 9.15am respectively.

Please contact Currency Index for the latest live rates for your own transaction.

Bank of England split 3 ways again

The Bank of England did not move nearer to further Quantitative Easing in their November meeting, according to their minutes released today.

7 of the 9-strong committee voted for no change, with one voting for more QE, and one voting for an interest rate rise - exactly the same result as October.

The Pound gained a small amount of value after the minutes were released.

Meanwhile EU finance ministers are meeting to discuss a possible bail-out of the Irish economy. The Euro could be affected if the Irish government asks for help, although when a rescue package was announced for Greece earlier this year, the Euro strenghtened (became more expensive) as markets saw the bailout as helping the single currency zone.

High inflation forces letter to Chancellor

This morning's UK inflation figures (3.2% for the previous 12 months) are again above the government's targets, forcing Bank of England Governer Mervyn King to write another explanatory letter to the Chancellor.

While the figures are unlikely to spark any short-term interest rate rises, they should be viewed as sterling-positive. Unfortunately, half an hour after the announcement, Eurozone inflation and economic sentiment were released at higher than expected levels, giving the Euro some retaliatory strength and reducing exchange rates for the rest of the day.

Tomorrow morning's Bank of England Minutes, to be released at 9.30am, are now crucial to the short-term movement of the Pound. If any of the committee voted for further quantitative easing this month, we could see the Pound's gains of the last week quickly disappear.

This week's economic news

We have plenty of important data out this week which is likely to move exchange rates - including key inflation, unemployment and retail sales figures in the UK, as well as the all-important Bank of England minutes on Wednesday, which will reveal whether more Quantitative Easing was considered this month.

With sterling still vulnerable to any negative news, speak with your Currency Index broker about your own transaction to avoid being caught out by any sudden moves in the market.

Monday 15th
1000 - Eurozone trade balance
1330 - US retail sales

Tuesday 16th
0930 - UK CPI & RPI inflation
1000 - Eurozone CPI inflation & German ZEW sentiment survey
1330 - US PPI inflation
1415 - US industrial production

Wednesday 17th
0930 - UK earnings, unemployment & Bank of England minutes
1000 - Eurozone construction output
1330 - US CPI inflation & housing starts

Thursday 18th
0715 - Swiss trade balance
0930 - UK public borrowing & retail sales
1500 - US manufacturing

Friday 19th
0700 - German PPI inflation

Pound pushes higher against Euro

Rates for sending money in Euros are now at their best for 6 weeks, after the Bank of England inflation report was followed by news of economic woe in Spain (where growth is approaching zero) and Ireland which weakened the Euro.

Worries about Quantitative Easing in the UK are now receding a little, although with 6 consecutive days of improvement in the Pound-Euro rate, there may be some profit-taking by investors as the weekend approaches, which could bring the rate back down.

Inflation report boosts sterling

This morning's Bank of England inflation report has given the Pound a timely boost, as Governer King took a neutral approach and did not mention further quantitative easing.

Furthermore, with the outlook still likely to give high inflation in the coming months, there may even be talk of UK interest rate rises next year, depending on the stability of the recovery. The Bank do not see a significant likelihood that we will slide back into recession.

As a result of the report, the Pound has spiked against the Euro and US Dollar, gaining over a cent against both currencies.

Contact Currency Index for the latest quote on your own transaction.

UK data as expected

This morning's UK manufacturing data and trade balance have come out close to expectations, with no resulting effect on most exchange rates. Attention will now turn to tomorrow's inflation report at 10.30am.

This week's currency news

The main news for the Pound this week is likely to be Wednesday's inflation report, which is an important economic indicator affecting decisions about interest rates and quantitative easing, and therefore the strength of sterling.

Tomorrow's manufacturing figures will also be important, otherwise there is no other significant UK data out this week. Other important data releases around the world are listed below.

Monday 8th
0645 - Swiss unemployment rate
1315 - Canadian housing starts
1800 - Speech - Federal Reservce - Fisher

Tuesday 9th
0930 - UK industrial & manufacturing production; UK trade balance
1400 - unofficial UK GDP estimate
1730 - Speech - Bank of Canada - Carney

Wednesday 10th
1030 - UK inflation report; Speech - Bank of England - King
1330 - US & Canadian trade balance; US jobless claims

Thursday 11th
0030 - Australian unemployment rate
0900 - ECB monthly report

Friday 12th
0700 - German GDP
1000 - Eurozone GDP

Federal Reserve pumps $600bn into economy

The US Federal Reserve has announced an extra $600bn of Quantitative Easing to boost the ailing American economy.

The amount was slightly more than most analysts had expected, but represents a middle-of-the-road approach, which had already been priced into the US Dollar exchange rate.

US Dollar rates are still around their best since February, but there has been no sudden movement in exchange rates which could have been expected if the figure was much higher.

Anybody needing to send money to the USA might like to consider fixing a rate now on the back of current US Dollar weakness.

US Dollar cheaper ahead of Fed decision

Rates for sending US Dollars have improved again in the last 24 hours, ahead of tonight's Federal Reserve decision on Quantitative Easing. Analysts are expecting more money to be pumped into the US economy, which is making the dollar cheaper.

Tonight's decision at 6.15pm is likely to cause strong volatility in the USD rate.

This morning's UK PMI services data showed good growth in the UK's services sector, which has also injected some sterling strength across the board.

Australian interest rates increased

The Australian Dollar gained strength today, after the RBA's decision to increase interest rates to 4.75% sparked increased demand for the Aussie currency.

If you need to make a money transfer to Australia, the next major news is overnight on Wednesday, when retail sales and trade balance figures are released. For the latest rates for Australian Dollars or any other currency, please contact us.

Economic data this week

This week we have interest rate decisions in the UK, Eurozone, Australia and USA. As the various policies of interest rate changes, austerity measures and quantitative easing are revealed, which are variously being touted in the US, UK and Europe, we are likely to see some volatility in exchange rates through the week.

For the latest market reactions and how your own exchange rate may be affected, contact your currency broker for a jargon-free chat.

Monday 1st
0030 - Australian house price index
0900 - Eurozone manufacturing inflation
0930 - UK manufacturing inflation
1230 - US personal consumption & expenditure
1400 - US manufacturing

Tuesday 2nd
0330 - Australian interest rate decision
0800 - UK Halifax house price index
0815 - Swiss retail sales
0930 - UK construction PMI

Wednesday 3rd
0930 - UK services PMI
1400 - US factory orders
1815 - US interest rate decision
2145 - New Zealand unemployment rate

Thursday 4th
0030 - Australian retail sales & trade balance
1000 - Eurozone PPI inflation
1200 - UK interest rate decision
1245 - Eurozone interest rate decision

Friday 5th
0030 - Australian interest rate minutes
0930 - UK PPI inflation
1000 - Eurozone retail sales
1100 - Canadian unemployment rate
1230 - US non-farm payrolls & unemployment rate

Currency Index in the news

To see our interviews on the One Show, Sky News and Five News, regarding rogue traders Crown Currency Exchange and better regulation in the currency industry, please click here to view our YouTube channel.

Nationwide says house prices are falling

Nationwide this morning unveiled its report gauging housing prices in the UK with a worrying downward trend. The monthly comparison of prices showed a 0.7% decline coming after a no-change result last month and plummeting past the forecasted fall at 0.3%.

The official release deals with the potential consequences of the drops in price: "If the recent trend in house prices were to continue through November and December, the annual rate of house price inflation would drop to between 0% and -1% by the end of 2010. This would compare to a rate of +5.9% at the end of 2009."

Falling house prices are a worry for the economy as a whole, and tend to cause a fall in sterling. The Pound has dropped around 0.5c against the Euro and US Dollar this morning.

Pound boosted by GDP figures

This morning's Q3 GDP figures showed that the economy grew more than expected from July to September, showing a 0.8% growth rather than the 0.4% expected by analysts.

This reduced the likelihood of futher Quantitative Easing (QE) next month, and the Pound has spiked up nearly a cent against the Euro and US Dollar on the back of the figures.

This week's economic data releases

As we near the end of October, this week's economic data releases are as follows. For the Pound, Tuesday's GDP figure is the most important, as we learn how much the economy looks to have grown from July to September.

Monday 25th
1000 - Eurozone industrial orders
1500 - US home sales

Tuesday 26th
0930 - UK GDP
1500 - US consumer confidence

Wednesday 27th
0230 - Australian CPI inflation
1500 - US new home sales
2100 - New Zealand interest rate decision

Thursday 28th
0855 - German unemployment rate
1000 - Eurozone economic confidence
1330 - US jobless claims

Friday 29th
0700 - German retail sales
0930 - UK mortgage approvals
1000 - Eurozone unemployment rate
1330 - Canadian GDP

Retail sales fall as Euro rate continues down

This morning's UK retail sales showed a 0.2% decline in September (worse than expected), which has done nothing to help the ailing pound.

The rate for buying Euros is now at its worst since April, and there is no major data due out for the rest of the week to give cause for optimism.

US dollar rates, however, are still holding up due to weakness in the US economy.

Bank of England split 3 ways on policy

This morning's Bank of England Minutes revealed a 3-way split in the monetary policy committee's views on interest rates and quantitative easing.

While 7 of the 9 members voted for no change, one (Andrew Sentance) voted again for an interest rate rise, while one (Adam Posen) voted for a £50bn extension to QE.

Any extensions to QE are likely to hurt sterling and it now seems plausible that this will happen in the coming months.

On top of September's Public Borrowing figures, which showed record levels of UK debt, the Pound could easily fall further in the short term.

The government is also revealing its spending review cuts today.

Currency Index wins OPP Award

We are pleased to announce that Currency Index has won the prestigious “Best Currency Company” award in the 2010 OPP Awards for Excellence, in recognition of our industry-leading client service levels and exchange rates.

Overseas Property Professional editor Geoff Hadwick presented the award to Currency Index at last week’s OPP / Property Investor Live show at ExCeL in London.

This week's currency news

This week, focus in the UK is likely to be on Wednesday's Bank of England minutes, which will reveal to what extent the MPC considered extending the UK's Quantitative Easing programme this month. Any likelihood of further QE could hurt the pound.

Also on Wednesday, the government publishes its key spending review, with details of the billions of pounds of cuts planned in the forthcoming spending round. Markets are concerned whether there will be an impact on the economy, and therefore we feel Wednesday could be a doubly hard day for sterling.

Don't forget, if you are worried about a falling pound, that you can fix exchange rates up to 2 years ahead using a Forward Contract from Currency Index.

This week's economic calendar is as follows:

Monday 18th
1415 - US industrial production

Tuesday 19th
1000 - Eurozone construction output & ZEW economic sentiment survey
1330 - US housing starts
1400 - Canadian interest rate decision

Wednesday 20th
0930 - Bank of England minutes & UK public borrowing

Thursday 21st
0715 - Swiss trade balance
0830 - Eurozone manufacturing inflation
0930 - UK mortgage approvals & retail sales
1500 - Eurozone consumer confidence

Friday 22nd
All day - G20 meeting
1200 - Canadian CPI inflation
1330 - Canadian retail sales

UK Data Update

The data out from the UK this week so far has been mixed at best, unfortunately leading to a fall in the value of sterling against most currencies.

Trade Balance: worse than expected (-£8.2bn)
House prices: worse than expected (up 8.3% in last 12 months but now falling)
Unemployment rate: better than expected (7.7%)
Jobless claimants: worse than expected (up 5,300)

It is worth noting that Bank of England MPC member Andrew Sentance is giving a speech at 6.40pm today, and his views on interest rates and quantitative easing are likely to be taken as signals as to the Bank of England's intentions for the next few months, with implications for the Pound.

This week's currency news

This week's economic data, likely to affect currency exchange rates:

Monday 11th
US/Canada bank holiday (Columbus Day/Thanksgiving)
No major data releases

Tuesday 12th
0930 - UK CPI & RPI inflation and DCLG house price index, plus August trade balance
1900 - US Federal Reserve minutes

Wednesday 13th
0930 - UK unemployment rate & jobless claims
1900 - US monthly budget statement

Thursday 14th
0900 - Eurozone ECB monthly report
1330 - US PPI inflation & jobless claims

Friday 15th
1000 - Eurozone CPI inflation & trade balance
1330 - US CPI inflation & retail sales

Contact Currency Index for our views on how these figures could affect exchange rates for your own currency transfers.

House prices fell 3.6% in September

UK house prices fell 3.6% in September, according to Halifax - the biggest monthly fall since the survey started in 1983.

Although it is too early to say that prices are in decline, there is a worry for the UK economy that further falls in the housing market could cause serious problems for the economy. The Pound has continues its fall against the Euro and may other major currencies.

Currency Index in the news

Further to the collapse of Crown Currency Exchange, who are not Authorised by the FSA, Currency Index has today been commenting to the media regarding the enhanced safety and security offered by Authorised currency companies.

We are due to be featured on the BBC 6.00 news this evening, Wednesday October 6th.

Economic data due out this week

A busy week this week for data releases so we expect some volatility in exchange rates. Contact your account manager at Currency Index for the latest news relating to your currency transactions.

Monday 4th
1000 - Eurozone PPI inflation
1500 - US pending home sales
2000 - Federal Reserve Chairman Bernanke speaks
2200 - New Zealand business confidence

Tuesday 5th
0130 - Australian retail sales & trade balance
0530 - Australian interest rate decision
1000 - Eurozone retail sales

Wednesday 6th
1000 - Eurozone GDP
1100 - German factory orders
1315 - US non-farm employment change

Thursday 7th
0230 - Australian unemployment rate
0930 - UK industrial & manufacturing production
1200 - UK interest rate & QE decision
1245 - Eurozone interest rate decision
1330 - ECB press conference; US jobless claims

Friday 8th
0745 - Swiss unemployment rate
1200 - Canadian unemployment rate
1330 - US non-farm payrolls & unemployment rate

Euro rate continues to fall

Despite this morning's Q2 GDP revision showing no change to the 1.2% UK growth figure released earlier this year, the Pound has continued to fall significantly this afternoon, losing nearly 2c against both the Euro and US Dollar.

We are seeing an increasing number of clients worried about the falling Pound and fixing their rates for any currency requirements in the next few months. To discuss your options, do call us at Currency Index for an informal but informative chat.

Currency news this week

Last week saw a significant drop in the GBP-EUR exchange rate, while the GBP-USD rate has gone the other way. With the UK budget cuts due next month, the Pound could be vulnerable to any bad news; this week's data releases are as follows:

Monday 27th
0800 - European Central Bank speech (Trichet)
0900 - Eurozone money supply

Tuesday 28th
0700 - German retail sales
0930 - UK GDP (Q2)
1500 - US consumer confidence
2245 - New Zealand trade balance

Wednesday 29th
0930 - UK money supply & mortgage approvals
1000 - Eurozone economic confidence
Overnight - UK consumer confidence

Thursday 30th
0400 - New Zealand business confidence
0855 - German unemployment
1330 - US GDP & jobless claims

Best USD rate for 6 weeks

Weakness in the US Dollar has led to the best rates for sending money to the States since early August. If you have USD requirements, call Currency Index for a quote to take advantage of the spike in rates.

Euro rate falling as Bank hints at more QE

The Bank of England's policy minutes, released this morning, show that the committee is discussing the possibility of further quantitative easing to stimulate the economy.

With the forthcoming economic cuts also looming, the Pound has started to fall significantly, losing 2.5c against the Euro already this week.

If further QE is implemented, we are likely to see further drops in the value of sterling, as was the case this time last year. Contact Currency Index if you are concerned about falling rates and would like to discuss the possibility of fixing a rate now for delivery later in the year.

Currency news week commencing September 30th

This week's focus in the UK will be on the Bank of England's September minutes, due out on Wednesday morning, particularly whether any members voted for an extension in Quantitative Easing. If this proves to be the case, it would not be good news for sterling.

Elsewhere the following data is out around the world:

Monday 20th
0930 - UK mortgage approvals

Tuesday 21st
0230 - Reserve Bank of Australia minutes
1200 - Canadian CPI inflation
1330 - US housing starts
1915 - US interest rate decision

Wednesday 22nd
0930 - Bank of England minutes
1330 - Canadian retail sales

Thursday 23rd
0930 - UK mortgage approvals
1330 - US continuing jobless claims
1500 - US existing home sales

Friday 24th
0900 - German IFO business climate survey
1330 - US durable goods orders
1500 - US new home sales

UK Retail Sales tumble

This morning's UK retail sales figures are much worse than expected - showing a 0.5% drop in August, compared to analysts' predictions of a 0.3% increase.

The Pound fell on the release, as worries about the state of the recovery continue. If you are worried about falling rates, remember that you can fix and guarantee a rate up to 2 years ahead by using a Forward Contract from Currency Index.

Eurozone & UK Unemployment

UK unemployment has fallen slightly, to 2.47m in the 3 months to July. The unemployment rate remains at 7.8%. In Europe, there has also been a slight fall.

The Pound rose slightly this morning when the figures were released, but continues to struggle due to worries over cuts and the recovery overall. Tomorrow's retail sales figures, due at 9.30am, provide the next test for sterling.

Economic data releases this week

This week's major economic data releases are shown below - a busy week ahead, particularly on Wednesday with key relesases out in the UK, US, Eurozone, New Zealand, Australia and Canada.

For a simple explanation of any of these, and the possible implications on the currency markets, contact Currency Index.

Monday 13th
1900 – Monthly US budget statement
2345 – New Zealand retails sales

Tuesday 14th
0930 – UK CPI & RPI inflation
1000 – German ZEW economic sentiment
1330 – US retail sales

Wednesday 15th
0130 – Australian consumer confidence
0930 – UK unemployment & jobless claims
1000 – Eurozone CPI inflation & employment change
1200 – US mortgage applications
1330 – Canadian manufacturing shipments
2200 – New Zealand interest rate decision

Thursday 16th
0930 – UK retail sales
1300 – Swiss interest rate decision
1330 – US PPI inflation

Friday 17th
1330 – US CPI inflation

Pound down as trade balance worsens

The Pound's recovery this week has been swiftly halted by UK trade balance figures released this morning, which showed a defecit of some £4.8bn in July - £500m worse than expected.

The next major data release in the UK are tomorrow's inflation figures, and with the recovery still fragile, any bad news could spell trouble for the Pound.

Weekly economic roundup

This week we return to the usual monthly data releases from around the world relating to inflation, unemployment and interest rates in many key economies.

The most important day for exchange rates this week will likely be Thursday, when we have the European Central Bank report, Australian and US unemployment, German inflation and UK interest rates and trade balance.

The full calendar is as follows:

Monday 6th
Bank holiday – US & Canada
0930 – Eurozone investor confidence

Tuesday 7th
0530 – Australian interest rate decision
0645 – Swiss unemployment rate
1100 – German factory orders

Wednesday 8th
0700 – German trade balance
0930 – UK industrial & manufacturing production
1400 – Canadian interest rate decision

Thursday 9th
0230 – Australian unemployment rate
0700 – German CPI inflation
0900 – ECB monthly report
0930 – UK trade balance
1200 – UK interest rate decision
1330 – US jobless claims & trade balance

Friday 10th
0930 – UK PPI inflation
1200 – Canadian unemployment rate

Euro rate below €1.20

The Euro mid-market rate has dropped below €1.20 today for the first time since July, prompting fears for buyers of overseas property in Europe.

The Pound has been faltering over the last fortnight, and this morning's Eurozone retail sales data, which showed strong growth of 1.1% in the year to July, has also given the Euro more strength [made it more expensive].

Currency data this week

Major currency data released this week around the world is as follows. To discuss the possible implications on exchagne rates for your own transaction, please contact us at Currency Index.

Tuesday 31st
0130 – Australian current account balance
0855 – German unemployment rate
0930 – UK consumer lending and money supply
1000 – Eurozone unemployment rate
1330 – Canadian GDP
1900 – US FOMC minutes

Wednesday 1st
0400 – New Zealand commodity prices
0900 – Eurozone manufacturing
0930 – UK manufacturing

Thursday 2nd
0230 – Australian trade balance
0645 – Swiss GDP
1000 – Eurozone GDP & PPI inflation
1245 – Eurozone interest rate decision
1330 – US jobless claims
1500 – US factory orders & pending home sales

Friday 3rd
1000 – Eurozone retail sales
1330 – US non-farm payrolls & unemployment rate

Bloomberg analysts warn of falling Pound

Sterling rose to an eight-week high against the euro yesterday despite fears the pound's rally is coming to an end. Currency traders warned sterling will soon go into reverse as spending cuts and tax rises outlined in the Budget curb economic growth in the UK.

Foreign exchange forecasters are the most pessimistic they have been about the pound since May 2009 when rating agency Standard & Poor's said the UK was at risk of losing its AAA status, according to Bloomberg.

This week's economic releases

Week commencing August 23rd 2010; this week's data releases which are likely to have an effect on exchange rates are shown below.

For valuable opinions on what could happen to rates this week, contact Currency Index.

Monday 23rd
0830 - German manufacturing PMI
1500 - Eurozone consumer confidence

Tuesday 24th
0400 - New Zealand inflation expectations
0700 - German GDP
1330 - Canadian retail sales

Wednesday 25th
0900 - German business climate survey
1200 - US mortgage applications
1330 - US durable goods orders
1500 - US new home sales

Thursday 26th
0900 - Eurozone money supply
1330 - US jobless claims

Friday 27th
0930 - UK GDP revision
1330 - US GDP & personal consumption

Retail sales up - Pound gains strength

Most exchange rates have improved this morning, after UK retail sales figures released at 9.30am showed a much better performance in the sector than analysts had expected.

Retail sales in July were up 1.1%.

The Pound has gained 1c against the US Dollar and nearly 1c against the Euro in morning trading.

Bank of England minutes reveal no surprises

This morning's minutes from the Bank of England's interest rate setting committee showed that 8 of the 9 members voted to keep interest rates on hold.

UK interest rates have now been at 0.5% for 17 months.

Currencies are linked strongly to interest rate rises, so anybody hoping for better exchange rates for sending money abroad, will want interest rates to go up sooner rather than later.

Following the Bank's assessment last week that inflation is likely to fall, and that we are in for a "choppy" recovery, we are unfortunately unlikely to see an interest rate rise in the short to medium term.

Pound falls on UK inflation drop

This morning's inflation figures were lower than expected - which, although good news for the economy, is not positive for the Pound. We have lost a cent against the Euro and more against the US Dollar in trading today.

The single currency was boosted by solid demand at an Irish bond auction.

This week's currency data

This week's news releases, likely to affect exchange rates, are as follows:

Monday 16th
1000 - Eurozone CPI inflation
1800 - US housing market index

Tuesday 17th
0230 - Reserve Bank of Australia minutes
0930 - UK inflation
1000 - Eurozone economic sentiment survey
1330 - US housing starts & PPI inflation

Wednesday 18th
0130 - Australian wage price index
0930 - Bank of England minutes

Thursday 19th
0930 - UK money supply, public borrowing & retail sales

Friday 20th
1200 - Canadian CPI inflation

For the latest live rates, please call Currency Index on 0800 043 2623.

Downbeat inflation report

Yesterday's quarterly Bank of England inflation report predicted a "choppy" recovery ahead for the UK, with interest rates low for some time, and the possibility of more quantitative easing in the future.

Coming after an increase in long-term unemployment was announced, the Pound fell yesterday against most currencies, although curiously the weakening Euro has actually provided an improvement in rates for buying Euros over the last 24 hours.

House prices fall, but trade balance improves

Mixed news this morning, as UK house prices have fallen slightly over the last 2 months according to the main 3 UK housing market surveys, casting further doubt on the UK's economic recovery. On the other hand, Britain's trade balance figures out this morning showed something of an improvement.

The Pound has fallen slightly but is continuing to trade in tight ranges, ahead of tomorrow's Bank of England quarterly inflation report.

For the latest live rates for your transfer of money to the UK or overseas, please call us on 0800 043 2623.

This week's FX news

This week sees a number of important data releases likely to affect exchange rates, notably the Bank of England's key quarterly inflation report, released on Wednesday morning. There are also important monthly reports from the European and US central banks, along with GDP and inflation figures from other economies.

If you are sending money abroad, speak to Currency Index this week as there is likely to be volatility in rates which could provide opportunities to buy your currency at preferential rates.

Monday 9th
0230 - Australian home loand
0930 - Eurozone investor confidence

Tuesday 10th
0700 - German CPI inflation
0930 - UK trade balance
1915 - US interest rate decision

Wednesday 11th
0930 - UK unemployment rate
1030 - Bank of England quarterly inflation report
1330 - US trade balance
1900 - US monthly budget statement

Thursday 12th
0230 - Australian unemployment rate
0900 - European Central Bank monthly report
2345 - New Zealand retail sales

Friday 13th
0700 - German GDP
1000 - Eurozone GDP
1330 - US CPI inflation & retail sales

Interest Rates Held

As expected today, both the Bank of England and European Central Bank have kept interest rates on hold at their monthly meetings today.

The ECB are currently giving their monthly press conference, which may have an effect on Euro rates, while there are no further clues due from the Bank of England until next week's quarterly inflation report.

The Pound is steady against the Euro in trading today, and up against the US Dollar following yesterday's decline.

Currency data released this week

This week's main economic data releases (likely to cause volatility in exchange rates) are as follows. As in the first week of any month, there are a lot of key figures out from around the world. Contact Currency Index for the latest live rates and information.

Monday 2nd
0200 - Australian new home sales
0900 - Eurozone PMI manufacturing data
0930 - UK PMI manufacturing data
1330 - US personal consumption expenditure

Tuesday 3rd
0530 - Australian interest rate decision
0815 - Swiss CPI inflation
1330 - US core personal consumption & income
1500 - US pending home sales
2200 - US consumer confidence

Wednesday 4th
0130 - Australian house price index
0230 - Australian trade balance
1000 - Eurozone retail sales
2345 - New Zealand unemployment rate

Thursday 5th
1200 - UK interest rate decision
1330 - Canadian building permits

Friday 6th
0230 - Australian interest rate minutes
0645 - Swiss unemployment rate
0930 - UK industrial & manufacturing production & inflation
1200 - Canadian unemployment rate
1330 - US non-farm payrolls & unemployment rate

Bank of England voice concerns over recovery

Mervyn King, the Governor of the Bank of England, has suggested this morning that UK interest rates will stay low for the foreseeable future, given concerns about the strength of the UK recovery.

Low interest rates usually translate to a weak currency, so it is perhaps unlikely that we will see any significant gains for the Pound in the coming months.

Current exchange rates for sending money overseas are still around the best levels we have seen in 2010.

Best US Dollar rates since February

A weaker US Dollar has resulted in the best Dollar exchange rates against the Pound since February.

With the Pound still exposed to any further bad news in the UK economy, if you need to send money to the States in the coming weeks or months it might be a good time to consider fixing your exchange rate now.

Please contact Currency Index on 0800 043 2623 (+44 1923 777562 from abroad) if you would like to chat through your options.

Currency markets this week

As we enter the last week of the month, most major data releases have already been published, so there is no important news due out of the UK likely to have a huge effect on the Pound. Elsewhere around the world, the week's data is as follows; contact Currency Index for the latest news and rates.

Monday 26th
0230 - Australian PPI inflation
1500 - USA new home sales

Tuesday 27th
0700 - German retail sales
1500 - US consumer confidence

Wednesday 28th
0230 - Australian CPI inflation
0400 - New Zealand business confidence
2200 - New Zealand interest rate decision
2345 - New Zealand trade balance

Thursday 29th
0855 - German unemployment
0930 - UK mortgage approvals

Friday 30th
1000 - Eurozone unemployment rate
1330 - Candian & US GDP

GDP figures send Pound higher

This morning's GDP figures, estimating growth in the UK economy from March to June, have been released and are much better than expected. The figures showed a growth of 1.1%, compared to expectations of 0.6%.

Sterling has pushed higher on the news, so anyone considering fixing an exchange rate may like to request a quote from Currency Index today.

Retail Sales fall

This morning's UK retail sales figures showed a decline of 1.3% in the previous 12 months, compared to expectations of an increase 2.4%. This is worrying news for the UK economy and the Pound's prospects.

Don't forget you can secure an exchange rate up to 2 years ahead, using a Forward Contract from Currency Index.

Euro rate outlook worsens

This morning's Bank of England minutes have done the Pound few favours, as only one of the MPC's members voted for an interest rate rise this month. Higher interest rates are widely seen as a pre-requisite for further sterling strength.

"The euro is generally weaker so euro/sterling is down but overall I think the outlook for the pound is negative after the MPC questioned the UK's growth outlook," said Ian Stannard, senior currency analyst at BNP Paribas.

The euro slipped broadly after a Portuguese treasury-bill auction showed yields more than doubling from the previous sale

This week's economic data

Major economic news due out in the next 3 days, all likely to affect exchange rates, is as follows:

Today
0930 - Bank of England minutes
1900 - Federal Reserve chairman's speech

Thursday 22nd
0930 - UK retail sales
1330 - Canadian retail sales
1500 - Eurozone consumer confidence & US home sales

Friday 23rd
0930 - UK GDP
1200 - Canadian CPI inflation

This week in currency news

Most of this week's data releases come from the Eurozone, so those of you who are looking at sending payments in Euros should keep a close eye on exchange rates. The only major UK data is Friday's trade balance and PPI figures, while in the States we have a bank holiday today and very little of interest later in the week.

Monday 5th
0815 Swiss retail sales
0930 Eurozone investor confidence
1000 Eurozone retail sales

Tuesday 6th
0815 Swiss CPI inflation

Wednesday 7th
1000 Eurozone GDP

Thursday 8th
0230 Australian unemployment rate
0645 Swiss unemployment rate
0700 German trade balance

Friday 9th
0700 German CPI inflation
0930 UK goods trade balance & PPI inflation
1200 Canadian unemployment

GDP Release Delayed

The release of key UK GDP data, due out tomorrow, has been delayed to July 12th.

The Pound is currently enjoying a positive run, giving us the best Euro rates for over 18 months. Contact us to discuss your requirements if you are considering locking into an exchange rate now.

This week's currency news

After the bustle of last week's budget and Bank of England Minutes, this week is relatively quiet in terms of economic data likely to affect exchange rates. However, look out for UK GDP on Wednesday and Eurozone inflation figures on the same day, both of which could give some volatility to rates. In the USA, Friday's key monthly employment figures often cause movement in USD rates.

Do contact Currency Index for the latest rates and news.

Monday 28th
0400 - New Zealand business confidence
1330 - US personal consumption

Tuesday 29th
1000 - Eurozone consumer confidence
Overnight - UK consumer confidence

Wednesday 30th
0930 - UK Q1 GDP
1000 - Eurozone CPI inflation

Thursday 1st
No major data

Friday 2nd
1330 - US non-farm payrolls and unemployment rate

Budget tomorrow

Tomorrow we have the new UK government's emergency budget - and who knows what the effects might be on the currency markets. There is bound to be some reaction from the Pound, depending on how George Osborne's new policies and cuts go down in the City.

Meanwhile, we also have the following data out around the world:

Monday 21st
No major data

Tuesday 22nd
0715 - Swiss trade balance
0900 - German business climate survey
1130 - UK emergency budget
1200 - Canadian CPI inflation

Wednesday 23rd
0930 - Bank of England policy minutes
1330 - Canadian retail sales
1500 - US new home sales
1915 - US interest rate decision
2345 - New Zealand GDP

Thursday 24th
1330 - US durable good orders
2345 - New Zealand trade balance

Friday 25th
1330 - US GDP

Retail Sales Up

The Pound has had a boost this morning as May's UK retail sales came out better than expected. Overnight losses, following George Osborne's speech last night regarding banking regulation, have nearly been recouped for most exchange rates.

The Budget next Tuesday will now be the next area of focus; speak to us at Currency Index before the big day if you would like an informal discussion around your requirements.

Unemployment fails to rally Pound

This morning's UK unemployment figres up to 7.9% in the 3 months to April, up from 7.8% in the previous quarter.

Although the number of people claiming benefit fell slightly in May, the overall figures made for mixed reading and following a short boost there was little impact for the Pound.

Tomorrow's public borrowing numbers are the next major UK economic figres, and the last before Tuesday's emergency budget.

UK inflation falls

This morning's UK CPI inflation figure for May showed the headline inflation rate fell to 0.2%, from April's 0.6% figure. Although this is good news for the economy as the Bank of England is keen to keep inflation under control, the effect on sterling is the opposite, since lower inflation means that interest rates may not need to rise as had been feared.

The Pound gave back its overnight gains against both the Euro and US Dollar, and particularly against the Euro, where exchange rates for buying Euros have been falling throughout the day.

Currency news this week

This week's economic releases likely to affect exchange rates:

Monday 14th
0815 - Swiss producer & import prices
1000 - Eurozone industrial production

Tuesday 15th
0230 - Australian interest rate minutes
0930 - UK inflation
1000 - Eurozone employment & trade balance
1000 - German ZEW survey
1330 - US import price index
1330 - Canadian manufacturing figures

Wednesday 16th
0930 - UK earnings & unemployment rate
1000 - Eurozone inflation
1200 - US mortgage applications
2245 - US Federal Reserve Chairman's speech

Thursday 17th
0830 - Swiss interest rate decision
0900 - European Central Bank monthly report
0930 - UK retail sales
1330 - US CPI inflation & jobless claims

Friday 18th
0700 - German PPI inflation
0930 - UK public sector borrowing & mortgage approvals

Trade balance worse than expected

Figures this morning show the UK's trade balance has worsened slightly, to £3.3bn. This is only slightly worse than expected, so has not weighed too heavily on sterling on the money markets this morning.

Tomorrow's interest rate decision is unlikely to cause any surprises, so rates for sending money abroad could be influenced more by local events in each economy for the rest of the week. For the latest news, contact Currency Index.

Currency news this week

This week's main economic data releases around the world:

Monday 7th
No major data

Tuesday 8th
0645 - Swiss unemployment rate
0700 - German trade balance
0815 - Swiss CPI inflation
Overnight - UK consumer confidence

Wednesday 9th
0130 - Australian consumer confidence
0930 - UK trade balance
2200 - New Zealand interest rate decision

Thursday 10th
0230 - Australian unemployment rate
1200 - Bank of England interest rate decision
1245 - European Central Bank interest rate decision
1330 - US jobless claims & trade balance
1900 - US monthly budget statement

Friday 11th
0930 - UK industrial production & PPI inflation
1330 - US retail sales

Euro rate flirts with €1.20

Problems in the Eurozone have contributed to a cheaper Euro, with rates now at their best since the financial crisis. If you are buying Euros to send overseas, consider fixing your rate now for at least part of your requirements.

This week's economic releases

There are a lot of important figures due out around the world this week likely to affect commercial exchange rates. For the latest updates, please contact Currency Index.

Tuesday 1st
0530 - Australian interest rate decision
0645 - Swiss GDP
0855 - German unemployment
0930 - UK manufacturing inflation
1000 - Eurozone unemployment rate
1400 - Canadian interest rate decision

Wednesday 2nd
0230 - Australian GDP
0930 - UK consumer lending & mortgage approvals

Thursday 3rd
0230 - Australian trade balance
1000 - Eurozone retail sales
1330 - US jobless claims
1500 - US factory orders

Friday 4th
1000 - European GDP
1200 - Canadian unemployment rate
1330 - US non-farm payrolls & unemployment rate

GDP figures as expected

UK GDP figures released this morning show a 0.3% growth in the UK economy, for the first quarter of 2010 compared to 2009.

The figures were exactly as expected by analysts, so there has been little effect on the Pound. Exchange rates for buying Euros remain at around the best levels since last summer.

Economic releases this week

This week's data likely to affect exchange rates is as follows; notably UK GDP on Tuesday morning will give an indication of the growth rate in the economy and is very likely to have a strong effect on sterling.

Monday 24th
1500 - US home sales

Tuesday 25th
0400 - New Zealand Reserve Bank inflation report
0930 - UK GDP
1500 - US consumer confidence

Wednesday 26th
0700 - German GfK consumer confidence
1330 - US durable goods orders
1500 - US new home sales
2345 - New Zealand trade balance

Thursday 27th
0815 - Swiss employment level
1330 - US GDP & initial jobless claims

Friday 28th
Overnight - UK GfK consumer confidence
1330 - US personal consumption

Sterling falls

This week has seen a huge flow on the money markets away from AUD and NDZ, which has strengthened both the US Dollar and Euro significantly. The Pound is now trading below €1.15 and $1.45, with no help from economic data showing UK mortgage approvals lower then expected in April.

One piece of good news was that UK public borrowing was £10bn in April, less than the £11.2bn forecast, which has given the Pound a small boost this morning.

For the latest live trading rates for overseas transfers, contact Currency Index on 0800 043 2623.

Australian Dollar rates up 5c

Rates for sending money to Australia have improved dramatically today, after the Reserve Bank of Australia indicated that there will be no further interest rate rises for the time being.

Interest rate rises tend to keep currencies expensive, so when interest rates stop going up, a currency can become cheaper accordingly.

Those of you looking to move down under or transfer funds to Australia in the coming weeks and months should follow the rate closely for opportunities to buy.

Inflation hits 17-month high

This morning's UK inflation figures showed a rise to 3.7%, higher than analysts expected and the highest UK inflation for over a year.

Although this means the Bank of England might need to raise interest rates sooner than might have been the case, which would normally give the Pound a boost, the news has not been taken well, because it puts the Bank's predictions of inflation to come back down to its target levels in the shade.

Sterling has therefore actually fallen slightly on the news.

Tomorrow morning's interest rate minutes from the Bank of England will now be of increased interest for the Pound's fortunes.

This week's economic data

A very busy week ahead with key inflation data out in the UK, Europe and the USA, all likely to affect exchange rates this week.

Keep in touch with Currency Index for the latest news affecting your currency purchase.

Monday 17th
No major data

Tuesday 18th
0230 - Australian interest rate minutes
0930 - UK CPI & RPI inflation
1000 - Eurozone CPI inflation & trade balance; German economic sentiment
1330 - US housing starts & PPI inflation

Wednesday 19th
0030 - Australian consumer confidence
0930 - Bank of England policy minutes
1330 - US CPI inflation
1700 - European Central Bank speech
1900 - US interest rate minutes

Thursday 20th
0700 - German PPI inflation
0930 - UK retail sales
1330 - US jobless claims

Friday 21st
0700 - German GDP
0900 - German IFO business survey
1200 - Canadian CPI inflation
1330 - Canadian retail sales

UK Trade Balance worsens

Yesterday's UK trade balance figures have hurt the Pound, as data showed a £3.6bn defecit for March, against analysts' expectations of £2.4bn.

Sterling remains vulnerable to further losses as the dust settles after the election and the new government faces up to the economic challenges ahead. There is no major data due out in the UK today.

David Cameron is Prime Minister

The political events of last night, confirming David Cameron as Prime Minister at the head of a Conservative-Liberal coalition, have given the Pound a boost. We now have the best rate for buying Euros since June 2009.

Today's Bank of England Inflation Report, published at 10.30, will give some insight into the UK economy and the Bank's forecasts for inflation for the rest of the year. It is a potential 'banana skin' for the Pound - any downbeat news could bring exchange rates down in the current volatile environment.

Quarterly inflation report tomorrow

Tomorrow sees the Bank of England's quarterly inflation report published - a major insight into the strength (or otherwise) of the UK's economic recovery, and prospects for inflation and interest rates in the coming months.

The Pound is certainly vulnerable to poor economic figures at the moment, with the continuing uncertainty around who will be in government. At the same time, the European Central Bank is propping up the Euro with a comprehensive rescue package for Greece.

If you are concerned about the current volatility in the foreign exchange markets, speak to Currency Index about your options.

Election, Greece and this week's currency news

A week is a long time in the currency markets - on Thursday we saw fluctuations of 5c for the Euro and Dollar exchange rates as the election results came in, and the economic crisis in Greece worsened.

This week, much will depend on whether there is a deal between the Conservatives and Liberal Democrats, as well as the Greek bailout, particularly if you are buying Euros to transfer abroad.

We also have the following data due out around the world:

Monday 10th
0700 - German trade balance
1200 - UK interest rate decision

Tuesday 11th
0700 - German CPI inflation
0930 - UK industrial production

Wednesday 12th
0700 - German GDP
0930 - UK jobless claims change
1000 - Eurozone GDP
1030 - Bank of England quarterly inflation report
1330 - US trade balance
1900 - US monthly budget statement

Thursday 13th
0230 - Australian unemployment rate
0930 - UK trade balance
1330 - US jobless claims
2345 - New Zealand retail sales

Friday 14th
1330 - Canadian manufacturing data
1330 - US retail sales

Pound slumps on hung parliament

The Pound's recent gains have been wiped out this morning as the UK election produced a hung parliament.

Those of you buying Euros or US Dollars have seen rates fluctuating up to 5c since the early hours of the morning.

This could spell the end of sterling's recent rise, depending on how quickly a government is formed and how stable the markets perceive the resultant deal.

Best Euro rate since August, but election looms

Further worries on the economic problems in Greece and Spain have weakened the Euro, which is now trading at the best rate for sending Euros abroad since August last year.

With the UK election looking tomorrow and the uncertainty around the result, today may be a good time to look at securing your rate. Don't forget you can fix a rate up to 2 years in advance with Currency Index.

Currency news from around the world

The UK election will be the main point of interest this week - will a hung parliament cause the Pound to drop? There is also news due out from around the world as follows:

Tuesday 4th
0530 – Australian interest rate decision
0930 – UK individual lending & purchasing inflation
1500 – US pending home sales

Wednesday 5th
1000 – Eurozone retail sales
1315 – US employment change
2345 – New Zealand unemployment rate

Thursday 6th
UK general election
0230 – Australian trade balance & retail sales
1245 – Eurozone interest rate decision
1330 – US initial jobless claims

Friday 7th
0230 – Australian monetary policy statement
0930 – UK PPI inflation
1200 – Canadian unemployment rate
1330 – US non-farm payrolls & unemployment rate

House prices up 10% in last year

This morning's Nationwide house price survey shows a 10.5% increase in prices in the year to April. This is an encouraging sign of economic growth in the UK and as such the Pound is performing relatively well this morning.

The Greek bailout continues to weigh on the Euro, although the rate for buying Euros seems to have peaked for now having increased over the last 10 days.

With the final leaders' debate before the election tonight, there could be a limited window to buy your currency before the uncertainty of the election takes over for the next 7 days.

International foreign exchange news out this week

This week is quiet in terms of UK data, but there are other releases around the world likely to affect exchange rates. Contact Currency Index for the latest news and live rates for your transfer.

Monday 26th
ECB President Trichet's speech

Tuesday 27th
0930 - UK mortgage approvals
1500 - US consumer confidence

Wednesday 28th
0230 - Australian CPI inflation
0400 - New Zealand business confidence
1915 - US interest rate decision
2200 - New Zealand interest rate decision
2345 - New Zealand trade balance

Thursday 29th
0700 - UK Nationwide house prices
1330 - US jobless claims

Friday 30th
Overnight - UK GfK consumer confidence survey
1000 - Eurozone unemployment & CPI inflation
1330 - Canadian & US GDP

More good news as sterling rises

This morning's mortgage approvals and public borrowng data came out better then expected - and even slightly worse retail sales could not dampen the Pound's momentum.

Against the Euro, US Dollar, Australian Dollar and South African Rand we have seen improvements in exchange rates for anyone sending money abroad.

Contact Currency Index for the latest commercial rates available.

Mixed figures but Pound is up

This morning's headline unemployment figure showed an increase to 8% - the highest since 1994 - but behind the figures there was a lower than expected number of UK citizens claiming unemployment benefit in March.

At the same time, average UK earnings figures were better than expected, so overall this morning there has been some support for sterling, with the mixed numbers being taken as positive overall for the UK economy.

With retail sales and public borrowing figures out tomorrow morning, today could present an opportunity for buying Euros, Dollars or whichever currency you need to send abroad, at a relatively good rate. Contact Currency Index for the latest live rates.

UK inflation rises - as does the Pound

In a data release seen as positive for sterling, UK inflation has come out higher than expected this morning, making sending money abroad slightly cheaper across the board.

The retail price index for March was up 0.7%, and up 4.4% for the year, compared with expectations of 0.4% and 4.1% respectively.

Currency news this week

This week focus for the Pound is likely to be fixed to the unfolding election news, as investors decide whether a surge in Lib Dem popularity is likely to be good for the economy.

We also have the following scheduled data releases:

Monday 19th
1000 - Eurozone construction data
1330 - Canadian foreign investments
2345 - New Zealand CPI inflation

Tuesday 20th
0230 - Australian interest rate minutes
0700 - German PPI inflation
0930 - UK CPI inflation & retail sales figures
1000 - German ZEW consumer confidence survey
1400 - Canadian interest rate decision

Wednesday 21st
0930 - Bank of England minutes, UK unemployment rate & UK earnings figures

Thursday 22nd
0715 - Swiss trade balance
0930 - UK net public borrowing
1330 - US jobless claims & PPI inflation
1500 - US house price index

Friday 23rd
0900 - German IFO business climate survey
0930 - UK Q1 GDP
1200 - Canadian CPI inflation
1330 - US durable goods orders & Canadian retail sales

Euro rate back up

Good news for anyone buying Euros - the rate is creeping back up as worried about Greece and Portugal persist in holding back the value of the single currency.

ECB President Trichet's speech yesterday was unusually strong in warning of further economic problems in the Eurozone to come, which has halted gains that the Euro was making earlier in the week.

For the latest commercial Euro exchange rates, contact Currency Index on 0800 043 2623.

Currency blog resources

For a list of other currency blogs available, please see our partner site at www.Mistercurrency.com.

Trade balance narrows

The Pound has taken some strength this morning from the UK trade balance figures, which were not as bad as expected.

February's defecit was £2.1bn, against expectations of £2.9bn. There is no further major UK data out this week.

Data out this week

A summary of data released from around the world this week likely to affect exchange rates:

Monday 12th
1315 - Canadian housing starts
1930 - US monthly budget statement

Tuesday 13th
0230 - Australian business confidence
0930 - UK trade balance
1330 - US import price index & Canadian house price index
2345 - New Zealand retail sales

Wednesday 14th
1000 - Eurozone industrial production
1330 - US CPI inflation & retail sales
1500 - Federal Reserve chairman Ben Bernanke's speech

Thursday 15th
0900 - European Central Bank monthly report & trade balance
1330 - US initial jobless claims
1415 - US industrial production

Friday 16th
0815 - Swiss producer & import prices
1000 - Eurozone CPI inflation
1330 - US housing starts

Sterling higher again - best rates since Feb

This morning's PPI inflation figures have come out much higher than expected and given the Pound a further boost. Rates for buying Euros and sending US dollars are now the best they have been since February - contact Currency Index for a quote on your overseas transfer today.

Triple dose of good news boosts sterling

3 pieces of positive news have given the Pound a boost this morning:

- UK industrial and manufacturing production up more than expected
- UK house prices rose 1.1% last month, according to Halifax
- UK car sales are up 26% on last year

Dollar and Euro prices agains the Pound are now at their cheapest for over a month, with the next news scheduled being the Bank of England and ECB due to announce their monthly policy statements at lunch time today.

Pound improves as election campaign gets underway

The Pound seems to have taken some strength from the official start of the UK election campaign - with better rates across the board for transferring money overseas, compared to before Easter.

Tomorrow we have Industrial and Manufacturing figures out in the UK, as well as the Bank of England's monthly policy statement, so do keep in touch with Currency Index if you would like the latest news on exchange rates.

This week's currency news

Data due out this week which is likely to affect exchange rates:

Tuesday 6th
0530 - Australian interest rate decision
0815 - Swiss CPI inflation
1900 - US interest rate minutes

Wednesday 7th
1000 - Eurozone GDP

Thursday 8th
0230 - Australian unemployment rate
0645 - Swiss unemployment rate
0930 - UK manufacturing production
1000 - Eurozone retail sales
1100 - German industrial production
1200 - UK interest rate & quantitative easing decisions
1245 - Eurozone interest rate decision

Friday 9th
0930 - UK PPI inflation
1200 - Canadian unemployment rate

GDP revised up

The final revision to Q4 GDP in the UK has been released - and shows a slight improvement on last month's estimate.

For 2009, the economy shrank by 3.1%, compared to the previous estimate of 3.3%.

The Pound has taken some strength from the news, which also confirmed the UK exited recession at the end of 2009. Exchange rates for sending money abroad have improved across the board this morning.

This week's currency update

After last week's budget, we return to the usual weekly data this week, which includes a mix of figures due to be released from around the world which are likely to affect exchange rates.

With the Easter weekend coming up, do speak to Currency Index before Friday if you would like an update on the latest news and some guidance on your currency transfers.

Monday 29th
0930 - UK mortgage approvals
1000 - Eurozone consumer confidence
1330 - US personal income & consumption

Tuesday 30th
0930 - UK current account
1500 - US consumer confidence

Wednesday 31st
Overnight - UK consumer confidence
0130 - Australian retail sales
0300 - New Zealand business confidence
1000 - Eurozone CPI inflation & unemployment rate
1330 - Canadian GDP
1500 - US factory orders

Thursday 1st
0130 - Australian trade balance
0900 - Eurozone manufacturing data
0930 - UK manufacturing data
1330 - US jobless claims
1500 - US manufacturing figures

Friday 2nd
Bank holiday (Good Friday)
1330 - US non-farm payrolls, hourly earnings and unemployment rate

Budget holds no surprises

Yesterday's budget has had very little impact on exchange rates, given Alistair Darling's cautious approach and the lack of any real economic change.

This morning we saw UK retail sales figures come out slightly better than expected, which has boosted the Pound somewhat. Exchange rates for sending money abroad are generally better than earlier in the week, with no major UK data due out before the weekend.

Inflation as predicted

This morning's UK inflation figures have come out slightly below expectations, with very little impact on the Pound and exchange rates.

Attention now turns to tomorrow's Budget - will Chancellor Darling give any reason for optimism in his measures tomorrow?

This week's currency news

This week we have the UK budget on Wednesday - analysts will be looking to interpret the government's plans with a likely knock-on effect for the Pound.

Other data releases due this week and likely to influence exchange rates are as follows:

Monday 22nd
1530 - Bank of England Governer King's speech
1530 - European Central Bank President Trichet's speech
2030 - US Treasury Geithner's speech

Tuesday 23rd
0930 - UK CPI & RPI inflation
1400 - US homes sales

Wednesday 24th
UK Budget
0100 - New Zealand consumer confidence
0900 - German business climate survey
1230 - US durable goods orders
1400 - US new home sales
2145 - New Zealand GDP

Thursday 25th
0930 - UK retail sales
1230 - US jobless claims
2245 - New Zealand trade balance

Friday 26th
1330 - US GDP & personal consumption

Public borrowing not as bad as expected

Public borrowing for February came in at £12.4bn - not as bad as economists had predicted (£14bn) and after yesterday's unemployment figures were also better than expected, the Pound has gained some strength from the first positive signs in the economy for some time.

With no major data out in the UK tomorrow, there may be an opportunity to secure better exchange rates over the next 24hrs for any payments you need to send abroad.

Unemployment figures boost Pound

This morning's UK unemployment figures have come in much better than expected - giving sterling a much-needed boost.

With public borrowing numbers due out tomorrow morning, today could be an opportunity to secure your exchange rate for sending foreign currency.

Please contact Currency Index if you would like to discuss your options.

Data out today and tomorrow

A busy couple of days ahead, with plenty of data releases likely to affect commercial exchange rates:

Tuesday 16th
0030 - Reserve Bank of Australia minutes
0930 - UK DCLG House Price Index
1000 - Eurozone CPI inflation & German ZEW survey
1230 - US Housing Starts & Import Price Index
1815 - Federal Reserve US interest rate decision

Wednesday 17th
0930 - UK average earnings, unemployment data & Bank of England minutes
1230 - US PPI inflation

Industrial Production Falls

This morning's UK industrial production data has come in worse than expected, in a new blow to anybody needing to send funds abroad.

January's figures showed a 0.9% contraction in manufacturing compared to December, against an expected growth of 0.3%.

This week's economic news

After very little economic data out yesterday, some news coming out for the rest of this week which is likely to affect exchange rates:

Tuesday 9th
Overnight - UK RICS house price balance
0815 - Swiss CPI
0930 - UK trade balance
2330 - Australian consumer confidence

Wednesday 10th
0930 - UK industrial production
1900 - US monthly budget statement
2000 - New Zealand interest rate decision

Thursday 11th
0030 - Australian unemployment rate
0900 - European Central Bank monthly report
1300 - Swiss interest rate decision
1330 - US trade balance
2145 - New Zealand retail sales

Friday 12th
1000 - Eurozone industrial production
1200 - Canadian unemployment rate
1330 - US retail sales figures

Pound steadies as attention turns to Bank of England

The sell-off of sterling seems to have abated - but for how long? Tomorrow the Bank of England announce whether there will be any extension to quantitative easing.

If more money is injected into the economy, the Pound is likely to fall further as this would be seen as a negative sign regarding the UK's economic recovery.

For now, exchange rates are relatively stable so if you need to make overseas money transfers do consider your options prior to the Bank's announcement tomorrow lunch time.

Australian Dollar at 25 year high

Anyone emigrating this year and sending money to Australia should be aware that the Australian Dollar rates is now at its most expensive for 25 years, as the Australian economy goes from strength to strength relative to the UK.

Last night the Reserve Bank of Australia increased interest rates to 4%, which stimulates investor demans and makes the Dollar more expensive still.

If you are worried about falling exchange rates, don't forget you can fix a rate up to 2 years ahead without having all your sterling available. Call Currency Index for details.

Euro rate dips below €1.10

The rate for buying Euros has dropped below €1.10 this morning amid frenzied selling off of the Pound, following speculation that the forthcoming General Election could result in a hung parliament on top of further economic worries regarding the UK's credit and economic recovery.

This week's currency update

The Pound remains under sever pressure this week after Friday's disappointing revision to GDP - althouth the headlines reported an improvement to the Q4 figure, the government actually revised the annual growth number DOWN resulting in a broad sterling sell-off.

Exchange rates have fallen significantly against all major currencies.

This week, the following data will be of interest:

Monday 1st
0900 Eurozone PMT inflation
0930 UK mortgage approvals
1000 Eurozone unemployment rate
1330 Canadian GDP
1330 US personal consumption & spending

Tuesday 2nd
0330 Australian interest rate decision
0645 Swiss GDP
1400 Canadian interest rate decision

Wednesday 3rd
0030 Asutralian GDP
0700 German retail sales
1000 Eurozone retail sales

Thursday 4th
0030 Australian trade balance
1000 Eurozone GDP
1200 Bank of England interest rates & quantitative easing
1245 Eurozone interest rate decision
1330 US jobless claims

Friday 5th
1330 US average earnings, non-farm payrolls & unemployment rate

Market awaits GDP figures tomorrow

Friday at 9.30am sees the revision to the fourth quarter GDP figures, which showed on first estimate last month that the UK had crept out of recession.

As other economies around the world seem to be emerging in a better position than the UK, it will be interesting to see if there is an upward revision to the paltry growth figures announced in January.

If you are sending money overseas or making transfers back to sterling from another currency, you should check tomorrow morning to see what the effect has been on the Pound. Any downward revision is likely to hurt sterling badly, and given recent economic events it may be expensive to rely on a positive outcome.

Speak to an FSA-regulated currency company today if you are concerned about the effects on your own transaction.

Mervyn King hints at more QE

The Bank of England governor, Mervyn King, has hinted today in a question session with a parliamentary committee, that the Quantitative Easing policy may not be over after all.

Based on February's inflation report, King said that there were still significant risks to the UK's recovery, and unsurprisingly the Pound has fallen on the back of his comments.

With Friday's GDP adjustment poised to sent jitters through the currency markets if there is further bad news, commercial exchange rates are looking particularly fragile at present.

This week's data releases

After a raft of key data last week in the UK, things look quiet this week until Thursday when we have various unemployment, GDP and inflation figures out. The Pound seems to have lost its momentum for the moment and if you are sending money abroad it may be wise to check exchange rates sooner rather than later.

Monday 22nd
No major data

Tuesday 23rd
0930 - BBA UK mortgage approvals
1500 - US consumer confidence

Wednesday 24th
0700 - German GDP and consumer confidence
1200 - US mortgage applications

Thursday 25th
0200 - New Zealand business confidence
0815 - Swiss employment rate
0855 - German unemployment rate
1000 - Eurozone consumer confidence
2145 - New Zeland trade balance

Friday 26th
0930 - UK GDP
1000 - Eurozone CPI inflation
1330 - US GDP

Retail sales hit new low

This morning's retail sales figures were the worst since June 2008 - showing a 1.8% drop in January, 3 times worse than expected.

Regular readers will not be surprised to learn that the Pound has fallen on the back of this news.

There is little news likely to improve exchange rates, so anybody who needs to make foreign currency transfers might like to consider booking a rate in case things go from bad to worse, with no major UK data due out before next Friday.

Public finances deteriorate sharply

This morning's public borrowing figures were much worse than expected - leading to sharp losses for sterling.

The net deficit of £4.3bn was the worse since comparable records began in 1993, and compared to a surplus of over £5bn in January last year.

The worry for sterling is that such negative data could send exchange rates on a downward spiral after recent gains - which is only good news if you are transferring money back to the UK rather than sending it abroad.

Please contact Currency Index for the latest rates.

Unemployment up... but Bank of England helps sterling

This morning's unemployment figures were worse than expected - with the number of peoplpe claiming benefit up 23,500 in January and the official unemployment rate now at 7.8%.

Usually the Pound would fall on such negative news - but the figures were released at the same time as the Bank of England announced that its Monetary Policy Committee voted 9-0 to pause Quantitative Easing at its February meeting. Analysts had expected a closer decision, and this has been seen as a positive signal for the UK economoy and therefore for the Pound.

As a result the rates for sending money overseas in most currencies have risen slightly this morning.

Tomorrow's public sector borrowing figures are the next big test for the UK's recovery and are likely to move exchange rates back down sharply if borrowing is much higher than expected.

Inflation as expected - house prices up

In the first of 4 key days of UK data this week, inflation figures have come out only slightly below expectations at 3.5% for the year to January.

At the same time, the DCLG (government) figures on house prices showed a surprise 2.2% increase in 2009.

The net effect on the Pound has been negligible, with tomorrow's unemployment figures at 9.30am the next focus.

If you need to send money in Euros, the German ZEW survey out at 10am could cause some movement in Euro exchange rates.

Currency news this week

This week's economic calendar is below; the main figures of interest for sterling will be the Bank of England minutes on Wednesday, and Tuesday's inflation figures will be of interest. With unemployment and public borrowing figures also out this week, there could be a rocky road ahead for the Pound.

Do call us at Currency Index to discuss your exact requirements, and to make sure you don't get caught out by volatile exchange rates.

Monday 15th

Ban k holiday in Canada, USA and some European countries

UK house prices (Rightmove)

Tuesday 16th

0930 – UK CPI inflation

1000 – German & Eurozone ZEW economic sentiment surveys

1330 – Canadian manufacturing shipments

Wednesday 17th

0930 – Bank of England minutes & UK unemployment rate

1330 – US import price index

1900 – US FOMC minutes

Thursday 18th

0715 – Swiss trade balance

0930 – UK public borrowing

1000 – Eurozone consumer confidence survey

1330 – US PPI inflation

Friday 19th

0700 – German PPI inflation

0900 – Eurozone current account deficit

0930 – UK retail sales

1330 – US CPI inflation

1330 – Canadian retail sales

FSA advises use of regulated currency companies

The FSA has issued guidance to individuals and businesses sending funds abroad - only use a company that is regulated (either 'Registered' or 'Authorised') by the FSA.

The BBC has run a news story here: http://news.bbc.co.uk/1/hi/business/8505568.stm

Currency Index is fully Authorised and fits into the most secure category of companies for overseas money transfers.

Bank of England report sends sterling plummeting

The Bank of England's quarterly inflation report has sent jitters through markets, with predictions that inflation & interest rates are likely to stay low for the rest of 2010.

Low interest rates usually mean a weak currency, and analysts had expected UK interest rates to start increasing towards the end of 2010.

The Bank of England has moved to dampen these expectations, and the Pound has fallen across the board this morning in reaction.

Good news if you are sending money back to the UK, but for those of you buying property abroad, do contact your currency company straight away if you are worried about falling exchange rates.

Tuesday's data hurts sterling

This morning's data has not been helpful for those of you sending money overseas. In the UK, the BRC reported retail sales down 7%, and the official trade balance figure at -£3.3bn was much worse than expected. Both have brough sterling under pressure and exchange rates have fallen.

If you are following exchange rates for buying Euros, further bad news from Germany where the trade balance came out at +€16.7bn, better than expected, which has made the Euro more expensive.

Tomorrow's UK quarterly inflation report is now crucial, and a low reading could send GBP back to very low levels across the board.

This week's currency news

This week's major data releases are tomorrow's trade balance and Wednesday's inflation report in the UK. For the latest news please contact your currency company as exchange rates are fluctuating every second.

Monday 8th

No major data

Tuesday 9th

0700 – German CPI inflation

0930 – UK trade balance

Wednesday 10th

0930 – UK industrial production

1030 – UK Bank of England quarterly inflation report & King’s speech

1330 – US trade balance

Thursday 11th

0030 – Australian unemployment rate

0815 – Swiss CPI inflation

1330 – US retail sales (Jan)

Friday 12th

1000 – Eurozone GDP

US Employment Data today

This afternoon at 1.30 sees the monthly release of US "non-farm payrolls" - the main employment statistic in the States each month.

Non-farms often causes a lot of volatility in the best rates for sending money to the USA, because the figure released is often a lot better or worse than expected. If more jobs have been created than the expected figure of 15,000, the US Dollar is likely to gain strength, making exchange rates worse again.

The US Dollar is gaining some momentum now, with rates significantly below $1.60. If you have payments to make in USD, contact your currency broker for the latest information and commercial exchange rates.

Bank halts QE as expected

The Bank of England has decided not to extend is programme of quantitative easing (printing of money), as expected, at its monthly policy announcement today.

The move is widely seen as positive for sterling, and was 'priced in' over the last week, resulting in better exchange rates across the board for sending money overseas.

The next major data out in the UK is not until Tuesday's industrial and manufacturing production figures.

Australian interest rates held

The Reserve Bank of Australia has suprirsed markets by keeping interest rates on hold at 3.75%.

Most analysts had expected an increase to 4% - and the price of the AUD has fallen, making sending payments to Australia unexpectedly cheaper.

If you or someone you know is moving to Australia, speak to your currency broker about taking advantage of a spike in exchange rates.

Economic news this week

This week's economic data likely to affect exchange rates is as follows. In addition there are house price surveys from Hometrack (Monday) and Halifax (Friday). The key day for the Pound is likely to be Thursday when the Bank of England announce whether or not quantitative easing is at an end.

Monday 1^st

0930 – UK PMI manufacturing data

1330 – US personal expenditure

Tuesday 2^nd

0330 – Australian interest rate decision

1500 – US home sales figures

Wednesday 3^rd

0030 – Australian trade balance

0900 – UK PMI services data

1000 – Eurozone retail sales figures

2145 – New Zealand unemployment rate

Thursday 4^th

0030 – Australian monetary policy statement

0715 – Swiss trade balance

1100 – German factory orders

1200 – Bank of England monthly policy announcement

1245 – European Central Bank monthly policy announcement

Friday 5^th

1200 – Canadian unemployment rate

1330 – US non-farm payrolls & unemployment rate