Forex | Forex Trading and Exchange Rates Services

Key Fundamental Forex Events and Forecasts for the Coming Week

The following table lists the key economic data and other events that are due out during the week of January 9th – January 13th, with release times displayed for the GMT time zone.

The list also includes the current market consensus forecast for each event and indicates what sort of deviation might affect the forex market valuation of the indicated currency positively.

Monday, January 9^th

• All Day JPY Bank Holiday
• 12:30am AUD Retail Sales (0.4%, > good for currency)
• 8:15am CHF Retail Sales (0.6%, > good for currency)
• 1:30pm CAD Building Permits (-3.1%, > good for currency)
• 3:30pm CAD BOC Business Outlook Survey (hawkish = good for currency)
• 9:45pm NZD Building Consents (last 11.2%, > good for currency)

Tuesday, January 10^th

• 12:30am AUD Building Approvals (6.3%, > good for currency)
• 10th-13th CNY Trade Balance (8.3B, > good for currency)

Wednesday, January 11^th

• 9:30am GBP Trade Balance (-8.2B, > good for currency)
• 7:00pm USD Fed Beige Book (hawkish = good for currency)

Thursday, January 12^th

• 1:30am CNY CPI (4.0%, > good for currency)
• 9:30am GBP Manufacturing Production (0.0%, > good for currency)
• 12:00pm GBP Asset Purchase Facility (275B, > good for currency)
• 12:00pm GBP Official Bank Rate (0.50%, > good for currency)
• Tentative GBP MPC Rate Statement (hawkish = good for currency)
• 12:45pm EUR Minimum Bid Rate (1.00%, > good for currency)
• 1:30pm EUR ECB Press Conference (hawkish = good for currency)
• 1:30pm USD Core Retail Sales (0.3%, > good for currency)
• 1:30pm USD Retail Sales (0.3%, > good for currency)
• 1:30pm USD Weekly Initial Jobless Claims (370K, > good for currency)

Friday, January 13^th

• 9:30am GBP PPI Input (0.1%, > good for currency)
• 1:30pm CAD Trade Balance (-0.4B, > good for currency)
• 1:30pm USD Trade Balance (-44.6B, > good for currency)
• 2:55pm USD Preliminary University of Michigan Consumer Sentiment (70.8, > good for currency)

Technical Forecast and Levels to Watch for the Majors This Week

EURUSD: Mildly Lower

Resistance:
Initial: 1.2857, 1.2873, 1.2917, 1.2946, 1.2957, 1.2968, 1.2983, 1.3000, 1.3055/76, 1.3145 and 1.3197,
Above: 1.3211, 1.3241/58, 1.3281, 1.3334, 1.3362, 1.3433/95, 1.3546/68, 1.3614 and 1.3795/98.

Support:
Initial: 1.2665, 1.2643 and 1.2586.
Below: 1.2484, 1.2329 and 1.1876.

USDJPY: Mildly Higher

Resistance:
Initial: 77.00, 77.13, 77.29/33, 77.48/49, 77.61/89, 78.06/16, 78.22, 78.28, 78.66, 79.05, 79.40, 79.52, 79.96, 80.00, 80.22 and 80.82.
Above: 81.34, 81.76, 82.01/22, 82.77, 83.09 and 83.77.

Support:
Initial: 76.83, 76.57/61, 76.41, 76.10, 75.94 and 75.70.
Below: 75.65, 75.56, plus 75.00 and 70.00 likely.

GBPUSD: Mildly Higher

Resistance:
Initial: 1.5465, 1.5483, 1.5516, 1.5531/37, 1.5557/85, 1.5624/29, 1.5668, 1.5685/91, 1.5717, 1.5735/45, 1.5770/74 and 1.5868/90.
Above: 1.5912/77, 1.6000, 1.6093, 1.6130/65, 1.6206, 1.6259, 1.6332/47, 1.6434/73, 1.6500/98 and 1.6616.

Support:
Initial: 1.5422, 1.5410, 1.5326/75, 1.5326, 1.5293, 1.5270, 1.5123 and 1.5000.
Below: 1.4947, 1.4782, 1.4769, 1.4474, 1.4345 and 1.4229. 

AUDUSD: Higher

Resistance:
Initial: 1.0224/29, 1.0266, 1.0303/84 and 1.0444/98.
Above: 1.0608, 1.0654, 1.0718/84, 1.1010 and 1.1079.

Support:
Initial: 1.0216, 1.0100/16, 1.0042/52, 1.0027, 1.0000, 0.9925/83, 0.9900, 0.9861/63 and 0.9732.
Below: 0.9689, 0.9661/67, 0.9651, 0.9620/27, 0.9536/41, 0.9500, 0.9486, 0.9386, 0.9341 and 0.9220.

USDCAD: Mildly Lower

Resistance:
Initial: 1.0262/87, 1.0297, 1.0302, 1.0334/37, 1.0415/23, 1.0438, 1.0481, 1.0500, 1.0506 and 1.0522.
Above: 1.0646/56, 1.0669, 1.0742, 1.0756, 1.0785.1.0853, 1.0868, 1.1000 and 1.1101/23.

Support:
Initial: 1.0232, 1.0221, 1.0207, 1.0199, 1.0172, 1.0105/42, 1.0026/78, 0.9969 and 0.9934.
Below: 0.9891, 0.9828/77, 0.9724/96, 0.9686 and 0.9645.

NZDUSD: Higher

Resistance:
Initial: 0.7855/59, 0.7876/88, 0.79060 and 0.7955/96.
Above: 0.8066/93, 0.8109/90, 0.8240, 0.8571 and 0.8841.

Support:
Initial: 0.7827/36, 0.7804/09, 0.7795, 0.7773, 0.7761, 0.7741, 0.7723, 0.7605/72, 0.7568 and 0.7500/52.
Below: 0.7404/67, 0.7369, 0.7342, 0.73210.7189, 0.7115, 0.7000, 0.6945/62, 0.6793 and 0.6560.

Key Fundamental Forex Events for the Week of January 2nd through January 6th

The following table lists the key economic data and other events that came out during the week of January 2nd through January 6th, with release times displayed for the GMT time zone.

The list also indicates how much each release deviated from the market consensus forecast upon release, as well as what the affected major currency pair or pairs did after each event or set of events.

Sunday, January 1^st

• 1:00am CNY Manufacturing PMI 50.3, as expected.
• Bank Holidays in Australia and New Zealand.

Monday, January 2^nd

• Bank Holidays in Japan, Switzerland, France, Italy, Britain, Canada, New Zealand and the United States.

Tuesday, January 3^rd

• Bank Holidays in China and Japan.
• 9:30am GBP Manufacturing PMI 49.6 versus 47.4 expected. The GBP rose.
• 3:00pm USD ISM Manufacturing PMI 53.9 versus 53.3 expected.
• 7:15pm USD FOMC Meeting Minutes noted that, “participants continued to anticipate that economic activity would expand at a moderate rate in the coming quarters and that, consequently, the unemployment rate would decline only gradually. The factors that participants cited as likely to restrain the pace of the economic expansion included an expectation that financial markets would remain unsettled until the fiscal and banking issues in the euro area were more fully addressed.” The USD fell overall.

Wednesday, January 4^th

• 9:30am GBP Construction PMI 53.2 versus 51.9 expected. The GBP fell.

Thursday, January 5^th

• 12:30am AUD Trade Balance 1.38B versus 1.68B expected. The AUD fell.
• 9:30am GBP Services PMI 54.0 versus 51.6 expected. The GBP fell.
• 1:15pm USD ADP Non-Farm Employment Change 325K versus 177K expected.
• 1:30pm USD Weekly Initial Jobless Claims 372K versus 375K expected.
• 3:00pm CHF SNB Chairman Hildebrand said on compliance issues regarding his wife’s currency trades that, “So long as I have the confidence of the government and the bank council, stepping down is not an issue for me.” The CHF fell.
• 3:00pm CAD Ivey PMI 63.5 versus 56.7 expected. The CAD fell.
• 3:00pm USD ISM Non-Manufacturing PMI 52.6 versus 53.1 expected. The USD rose overall.

Friday, January 6^th

• Bank Holiday in Italy.
• 8:00am GBP Halifax HPI -0.9% versus last -1.0%. The GBP fell.
• 8:10am CHF Foreign Currency Reserves 254.2B versus last 229.3B.
• 8:15am CHF CPI -0.2% versus -0.1% expected. The CHF fell.
• 12:00pm CAD Employment Change 17.5K versus 15.3K expected.
• 12:00pm CAD Unemployment Rate 7.5% versus 7.4% expected. The CAD fell.
• 1:30pm USD Non-Farm Payrolls 200K versus 153K expected.
• 1:30pm USD Unemployment Rate 8.5% versus 8.7% expected. The USD rose.

Technical Recap for the Majors This Week

EURUSD:

Forecast: Lower
Actual: Lower from a 1.2924 open to a 1.2724 close.

USDJPY:

Forecast: Mildly Higher
Actual: Mildly higher from a 76.91 open to a 77.07 close.

GBPUSD:

Forecast: Mildly Lower
Actual: Mildly lower from a 1.5510 open to a 1.5426 close.

AUDUSD:

Forecast: Higher
Actual: Mildly higher from a 1.0216 open to a 1.0237 close.

USDCAD:

Forecast: Mildly Lower
Actual: Mildly higher from a 1.0190 open to a 1.0230 close.

NZDUSD:

Forecast: Higher
Actual: Mildly higher from a 0.7773 open to a 0.7815 close.

Key Fundamental Forex Events and Forecasts for the Coming Week

The following table lists the key economic data and other events that are due out during the week of January 2^nd – January 6^th, with release times displayed for the GMT time zone.

The list also includes the current market consensus forecast for each event and indicates what sort of deviation might affect the forex market valuation of the indicated currency positively.

Sunday, January 1^st

• 1:00am CNY Manufacturing PMI (50.3)
• All Day NZD Bank Holiday
• All Day AUD Bank Holiday

Monday, January 2^nd

• All Day JPY Bank Holiday
• All Day CHF Bank Holiday
• All Day EUR French and Italian Bank Holidays
• All Day GBP Bank Holiday
• All Day CAD Bank Holiday
• All Day USD Bank Holiday
• All Day NZD Bank Holiday

Tuesday, January 3^rd

• All Day CNY Bank Holiday
• All Day JPY Bank Holiday
• 9:30am GBP Manufacturing PMI (47.4, > good for GBP)
• 3:00pm USD ISM Manufacturing PMI (53.3, > good for USD)
• 7:15pm USD FOMC Meeting Minutes (hawkish = good for USD)

Wednesday, January 4^th

• 9:30am GBP Construction PMI (51.9, > good for GBP)

Thursday, January 5^th

• 12:30am AUD Trade Balance (1.68B, > good for AUD)
• Tentative CHF Foreign Currency Reserves (last 229.3B, < good for CHF)
• 5th-12th GBP Halifax HPI (last -0.9%, > good for GBP)
• 9:30am GBP Services PMI (51.6, > good for GBP)
• 1:15pm USD ADP Non-Farm Employment Change (177K, > good for USD)
• 1:30pm USD Weekly Initial Jobless Claims (375K, < good for USD)
• 3:00pm CAD Ivey PMI (56.7, > good for CAD)
• 3:00pm USD ISM Non-Manufacturing PMI (53.1, > good for USD)

Friday, January 6^th

• All Day EUR Italian Bank Holiday
• 8:15am CHF CPI (-0.1%, > good for CHF)
• 12:00pm CAD Employment Change (15.3K, > good for CAD)
• 12:00pm CAD Unemployment Rate (7.4%, < good for CAD)
• 1:30pm USD Non-Farm Payrolls (153K, > good for USD)
• 1:30pm USD Unemployment Rate (8.7%, < good for USD)

Technical Forecast and Levels to Watch for the Majors This Week

EURUSD: Lower

Resistance:
Initial: 1.2946, 1.2957, 1.2968, 1.2983, 1.3000, 1.3055, 1.3145, 1.3197, 1.3211, 1.3241/58, 1.3281, 1.3334 and 1.3362.
Above: 1.3433, 1.3458, 1.3486, 1.3495, 1.3546/68, 1.3614, 1.3795/98, 1.3813/27, 1.3854/58 and 1.3868.

Support:
Initial: 1.2917, 1.2873 and 1.2857.
Below: 1.2643, 1.2586 and 1.1876.

USDJPY: Mildly Higher

Resistance:
Initial: 77.00, 77.13, 77.29, 77.48/49, 77.61/89, 78.06/16, 78.22, 78.28, 78.66, 79.05, 79.40, 79.52, 79.96, 80.00, 80.22 and 80.82.
Above: 81.34, 81.76, 82.01/22, 82.77, 83.09 and 83.77.

Support:
Initial: 76.89, 76.83, 76.57, 76.41, 76.10, 75.94 and 75.70.
Below: 75.65, 75.56, plus 75.00 and 70.00 likely.

GBPUSD: Mildly Lower

Resistance:
Initial: 1.5516, 1.5531/37, 1.5557/85, 1.5624/29, 1.5685/91, 1.5717, 1.5735/45, 1.5770/74, 1.5868/90, 1.5912/19, 1.5932, 1.5945 and 1.5977.
Above: 1.6000, 1.6093, 1.6130/65, 1.6206, 1.6259, 1.6332/47, 1.6434/73, 1.6500/98 and 1.6616.

Support:
Initial: 1.5483, 1.5465, 1.5422, 1.5410, 1.5373, 1.5339/60, 1.5326, 1.5293, 1.5270, 1.5123 and 1.5000.
Below: 1.4947, 1.4782, 1.4769, 1.4474, 1.4345 and 1.4229. 

AUDUSD: Higher

Resistance:
Initial: 1.0216, 1.0224/29, 1.0266, 1.0303/78 and 1.0444/98.
Above: 1.0608, 1.0654, 1.0718/84, 1.1010 and 1.1079.

Support:
Initial: 1.0100/16, 1.0042/52, 1.0027, 1.0000, 0.9925/83, 0.9900, 0.9861/63, 0.9732, 0.9689, 0.9661/67, 0.9651, 0.9620/27, 0.9536/41, 0.9500.
Below: 0.9486, 0.9386, 0.9341 and 0.9220.

USDCAD: Mildly Lower

Resistance:
Initial: 1.0207, 1.0221, 1.0232, 1.0262/87, 1.0297, 1.0302, 1.0334/37, 1.0415/23, 1.0438, 1.0481, 1.0500, 1.0506 and 1.0522.
Above: 1.0646/56, 1.0669, 1.0742, 1.0756, 1.0785.1.0853, 1.0868, 1.1000 and 1.1101/23.

Support:
Initial: 1.0199, 1.0172, 1.0105/42, 1.0026/78, 0.9969 and 0.9934.
Below: 0.9891, 0.9828/77, 0.9724/96, 0.9686 and 0.9645.

NZDUSD: Higher

Resistance:
Initial: 0.7795, 0.7804/09, 0.7827/36, 0.7855/59 and 0.7878/88.
Above: 0.7955/96, 0.8066/93, 0.8109/90 and 0.8240.

Support:
Initial: 0.7773, 0.7761, 0.7741, 0.7723, 0.7605/72, 0.7568, 0.7500/52, 0.7404/67, 0.7369, 0.7342 and 0.7321.
Below: 0.7189, 0.7115, 0.7000, 0.6945/62, 0.6793 and 0.6560.

Key Fundamental Forex Events for the Week of December 26th through December 30th

The following table lists the key economic data and other events that came out during the week of December 26th through December 30th, with release times displayed for the GMT time zone.

The list also indicates how much each release deviated from the market consensus forecast upon release, as well as what the affected major currency pair or pairs did after each event or set of events.

Monday, December 26^th

• 11:50pm JPY Monetary Policy Meeting Minutes noted that, “At the unscheduled Monetary Policy Meeting held today, the Bank of Japan, in cooperation with the aforementioned central banks, decided to take measures to address recent pressures in global money markets. Specifically, interest rates on the fixed-rate U.S. Dollar funds-supplying operations currently conducted by the Bank of Japan will be reduced by 0.5 percentage points, for operations conducted from December 5.” The JPY rose slightly.

Tuesday, December 27^th

• 7:00am CHF UBS Consumption Indicator 0.81 versus last 0.91. The CHF rose slightly.
• 2:00pm USD S&P/CS Composite-20 HPI -3.4% versus -3.2% expected.
• 3:00pm USD CB Consumer Confidence 64.5 versus 58.5 expected. The USD fell overall.
• 11:30pm JPY Household Spending -3.2% versus -1.1% expected.
• 11:30pm JPY Tokyo Core CPI -0.3% versus -0.4% expected.
• 11:50pm JPY Preliminary Industrial Production -2.6% versus -0.7% expected.
• 11:50pm JPY Retail Sales -2.3% versus 0.1% expected. The JPY rose.

Wednesday, December 28^th

• 1:30am JPY Average Cash Earnings -1.0% versus 0.1% expected. The JPY fell.
• 10:30am CHF KOF Economic Barometer 0.01 versus 0.25 expected. The CHF fell.
• Tentative USD Treasury Currency Report noted that, “China’s long-standing pattern of reserve accumulation, the persistence of its current account surplus and the incomplete appreciation, especially given rapid productivity growth in the traded goods sector, indicate that the real exchange rate of the renminbi is persistently misaligned and remains substantially undervalued.” The USD rose.

Thursday, December 29^th

• All Day EUR German Preliminary CPI 0.7% versus 0.8% expected.
• 9:00am EUR M3 Money Supply 2.0% versus 2.5% expected. The EUR rose.
• 1:30pm USD Unemployment Claims 381K versus 370K expected.
• 2:45pm USD Chicago PMI 62.5 versus 60.4 expected.
• 3:00pm USD Pending Home Sales 7.3% versus 1.4% expected.
• 4:00pm USD Crude Oil Inventories 3.9M versus last -10.6M. The USD was mixed.

Friday, December 30^th

• 12:30am AUD Private Sector Credit 0.3%, as expected. The AUD rose.
• 2:30am CNY HSBC Final Manufacturing PMI 48.7 versus last 49.0.
• 7:00am GBP Nationwide HPI -0.2% versus 0.3% expected. The GBP rose.

Technical Recap for the Majors This Week

EURUSD:

Forecast: Lower
Actual: Mildly lower from a 1.3046 open to a 1.2981 close.

USDJPY:

Forecast: Mildly Higher
Actual: Mildly lower from a 77.99 open to a 77.07 close.

GBPUSD:

Forecast: Mildly Lower
Actual: Mildly lower from a 1.5596 open to a 1.5540 close.

AUDUSD:

Forecast: Higher
Actual: Mildly higher from a 1.0158 open to a 1.0209 close.

USDCAD:

Forecast: Mildly Lower
Actual: Mildly lower from a 1.0210 open to a 1.0161 close.

NZDUSD:

Forecast: Higher
Actual: Mildly higher from a 0.7734 open to a 0.7805 close.

Key Fundamental Forex Events and Forecasts for the Coming Week

The following table lists the key economic data and other events that are due out during the week of December 26^th – December 30^th, with release times displayed for the GMT time zone.

The list also includes the current market consensus forecast for each event and indicates what sort of deviation might affect the forex market valuation of the indicated currency positively.

Sunday, December 25^th

• All Day NZD Bank Holiday
• All Day AUD Bank Holiday

Monday, December 26^th

• All Day CHF Bank Holiday
• All Day EUR German Bank Holiday
• All Day EUR Italian Bank Holiday
• All Day GBP Bank Holiday
• All Day CAD Bank Holiday
• All Day USD Bank Holiday
• All Day NZD Bank Holiday
• All Day AUD Bank Holiday
• 11:50pm JPY Monetary Policy Meeting Minutes (hawkish = good for JPY)

Tuesday, December 27^th

• 7:00am CHF UBS Consumption Indicator (last 0.91, > good for CHF)
• All Day GBP Bank Holiday
• All Day CAD Bank Holiday
• 2:00pm USD S&P/CS Composite-20 HPI (-3.2%, > good for USD)
• 3:00pm USD CB Consumer Confidence (58.5, > good for USD)
• 11:30pm JPY Household Spending (-1.1%, > good for JPY)
• 11:30pm JPY Tokyo Core CPI (-0.4%, > good for JPY)
• 11:50pm JPY Preliminary Industrial Production (-0.7%, > good for JPY)
• 11:50pm JPY Retail Sales (0.1%, > good for JPY)

Wednesday, December 28^th

• 1:30am JPY Average Cash Earnings (0.1%, > good for JPY)
• 10:30am CHF KOF Economic Barometer (0.25, > good for CHF)
• Tentative USD Treasury Currency Report (hawkish = good for USD)

Thursday, December 29^th

• All Day EUR German Preliminary CPI (0.8%, > good for EUR)
• 9:00am EUR M3 Money Supply (2.5%, > good for EUR)
• 1:30pm USD Unemployment Claims (370K, < good for USD)
• 2:45pm USD Chicago PMI (60.4, > good for USD)
• 3:00pm USD Pending Home Sales (1.4%, > good for USD)
• 4:00pm USD Crude Oil Inventories (last -10.6M, > good for USD)

Friday, December 30^th

• 12:30am AUD Private Sector Credit (0.3%, > good for AUD)
• 2:30am CNY HSBC Final Manufacturing PMI (last 49.0)
• 7:00am GBP Nationwide HPI (0.3%, > good for GBP)

Technical Forecast and Levels to Watch for the Majors This Week

EURUSD: Lower

Resistance:
Initial: 1.3145, 1.3197, 1.3211, 1.3241/58, 1.3281, 1.3334, 1.3362, 1.3433, 1.3458, 1.3486, 1.3495 and 1.3546/68.
Above: 1.3614, 1.3795/98, 1.3813/27, 1.3854/58, 1.3868, 1.3973, 1.4054, 1.4246 and 1.4548.

Support:
Initial: 1.3055, 1.3000, 1.2983, 1.2968, 1.2957, 1.2946 and 1.2917.
Below:  1.2873, 1.2643, 1.2586 and 1.1876.

USDJPY: Mildly Higher

Resistance:
Initial: 78.06/16, 78.22, 78.28, 78.66, 79.05, 79.40, 79.52, 79.96, 80.00, 80.22 and 80.82.
Above: 81.34, 81.76, 82.01/22, 82.77, 83.09 and 83.77.

Support:
Initial: 77.61/89, 77.48/49, 77.29, 77.13, 77.00, 76.83, 76.57, 76.41, 76.10, 75.94 and 75.70.
Below: 75.65, 75.56, plus 75.00 and 70.00 likely.

GBPUSD: Mildly Lower

Resistance:
Initial: 1.5685, 1.5691, 1.5717, 1.5735/45, 1.5770/74, 1.5868/90, 1.5912/19, 1.5932, 1.5945 and 1.5977.
Above: 1.6000, 1.6093, 1.6130/65, 1.6206, 1.6259, 1.6332/47, 1.6434/73, 1.6500/98 and 1.6616.

Support:
Initial: 1.5624/29, 1.5557/85, 1.5531/37, 1.5516, 1.5483, 1.5465, 1.5422, 1.5410, 1.5373, 1.5339/55, 1.5326, 1.5293, 1.5270, 1.5123 and 1.5000.
Below: 1.4947, 1.4782, 1.4769, 1.4474, 1.4345 and 1.4229. 

AUDUSD: Higher

Resistance:
Initial: 1.0216, 1.0224/29, 1.0303/78 and 1.0444/98.
Above: 1.0608, 1.0654, 1.0718/84, 1.1010 and 1.1079.

Support:
Initial: 1.0100/16, 1.0045/52, 1.0027, 1.0000, 0.9925/83, 0.9900, 0.9861/63, 0.9732, 0.9689, 0.9661/67, 0.9651, 0.9620/27, 0.9536/41, 0.9500.
Below: 0.9486, 0.9386, 0.9341 and 0.9220.

USDCAD: Mildly Lower

Resistance:
Initial: 1.0199, 1.0207, 1.0221, 1.0232, 1.0262/87, 1.0297, 1.0302, 1.0334/37, 1.0415/23, 1.0438, 1.0481, 1.0500, 1.0506 and 1.0522.
Above: 1.0646/56, 1.0669, 1.0742, 1.0756, 1.0785.1.0853, 1.0868, 1.1000 and 1.1101/23.

Support:
Initial: 1.0172, 1.0105/42, 1.0026/78, 0.9969 and 0.9934.
Below: 0.9891, 0.9828/77, 0.9724/96, 0.9686 and 0.9645.

NZDUSD: Higher

Resistance:
Initial: 0.7741, 0.7761, 0.7773, 0.7795, 0.7804, 0.7827/36, 0.7855/59 and 0.7878/88.
Above: 0.7955/96, 0.8066/93, 0.8109/90 and 0.8240.

Support:
Initial: 0.7723, 0.7605/72, 0.7568, 0.7500/52, 0.7404/67, 0.7369, 0.7342 and 0.7321.
Below: 0.7189, 0.7115, 0.7000, 0.6945/62, 0.6793 and 0.6560.

The Pound Euro exchange rate (GBP EUR) is 1.2029. The Pound Dollar exchange rate (GBP USD) is 1.5298. The Pound Australian Dollar exchange rate (GBP AUD) is 1.4844.
<br>
<br>The spectre of Central Bank Quantitative Easing programmes loomed over the currency markets during yesterday’s session, ahead of today’s ECB and Bank of England monetary policy announcements.
<br>
<br>However, the topic of QE was not raised by Mervyn King, nor by Mario Draghi, but instead by Charles Evans, the president of the Chicago Federal Reserve. Evans used a set piece speech to encourage the US Federal Reserve to maintain domestic interest rates at ultra-low levels, at least until the rate of unemployment in the world’s largest economy dropped from its current level of 8.5% down to 7%.
<br>
<br>Evans went on to call for the US Central Bank to consider a further loosening of monetary policy, when he stated that a new bout of quantitative easing might be necessary to promote US economic growth and employment. Evans suggested that $600bn might be a suitable tranche of funds to allocate to such a scheme.
<br>
<br>The Bank of England monetary policy committee is highly unlikely to alter the UK’s base rate from 0.5% later today, however, rumours abound in the markets that the nine-man committee may consider extending the £275bn already allocated to the Bank’s asset purchase scheme later today, in an attempt to steer the British economy away from a much-vaunted double-dip recession. Market participants appeared to be pricing this possibility in during yesterday afternoon’s European session, as Sterling was outperformed by all of the other 16 most actively-traded currencies.
<br>
<br>Meanwhile, in the Eurozone, yesterday’s German GDP growth figure for 2011 showed that Europe’s powerhouse economy had grown by 3% last year. However, the German growth data was not all good news – the figures suggested that growth had slowed to a standstill in the last three months of the year and that German economic activity may even have contracted during this period. Fears that Germany is suffering adverse effects due to uncertainty regarding the Eurozone’s debt crisis held back the Euro in late trading yesterday.
<br>
<br>
<br>For other live currency exchange rates and a currency converter see the currency news website.

POUND STERLING
<br>
<br>There was bad news for Britain’s tentative economic recovery earlier today, with the release of UK trade figures for November. The numbers showed that the UK’s trade deficit is widening, as the relatively cheap Pound caused the value of imports to increase, while exports dropped off. An increase in the £275bn already allocated to the Bank of England’s QE programme tomorrow would hit Sterling hard. NEAR-TERM OUTLOOK – NEUTRAL TO NEGATIVE.
<br>
<br>
<br>US DOLLAR – The Pound Dollar exchange rate (GBP USD) is 1.5382
<br>
<br>The Greenback has outperformed all of the other 16 most actively-traded currencies during today’s session following an anaemic performance from UK and European stock markets. The release of the latest Beige Book data from the Fed this afternoon will be closely-watched by investors holding the USD. NEAR-TERM OUTLOOK – NEUTRAL TO POSITIVE.
<br>
<br>
<br>EURO – The Pound Euro exchange rate (GBP EUR) is 1.2102
<br>
<br>Official figures from Germany’s Federal Statistics Office, released earlier today, showed that the German economy expanded by 3% throughout 2011. Less positively, the numbers also suggested that Europe’s powerhouse economy contracted by a quarter of a percentage point in the three months until the end of December. The recent dip in Germany’s output can be attributed to the uncertainty caused by Europe’s ongoing debt crisis; a situation which is unlikely to improve any time soon. NEAR-TERM OUTLOOK – NEUTRAL TO NEGATIVE.
<br>
<br>
<br>NEW TURKISH LIRA – The Pound New Turkish Lira exchange rate (GBP/TRY) is 2.8629
<br>
<br>The Lira has firmed-up since the GBP TRY exchange rate reached a multi-year high of just short of 2.9800 in between Christmas and the New Year. The move downwards for the pair was partly driven by profit-taking from speculators at top-of-the-range rates. Today’s Turkish trade data for November, which showed that the domestic current account deficit was narrower than anticipated, has further assisted the Lira’s recovery. NEAR-TERM OUTLOOK – NEUTRAL TO POSITIVE.
<br>
<br>
<br>For other live currency exchange rates and a currency converter see the currency news website.

The Pound Euro exchange rate (GBP EUR) is 1.2129. The Pound Dollar exchange rate (GBP USD) is 1.5458. The Pound Australian Dollar exchange rate (GBP AUD) is 1.5029.
<br>
<br>Yesterday’s session was marked by a significant forward movement in global stock markets, signalling a return of the ‘risk on’ trading environment. This saw London’s benchmark FTSE 100 index close up by 1.50% on the day.
<br>
<br>Equities markets had experienced a mixed start to 2012, as institutional investors shunned riskier assets and shifted their funds into safe haven currencies and in particular the US Dollar. This caused the GBP USD exchange rate drop to within a few pips of a 3-month low to trade down to 1.5376 on 6th January.
<br>
<br>The decrease in appetite for risk which brought on this movement was largely fuelled by the continued absence of a cogent policy form Europe’s policy-makers to deal with the ongoing debt crisis in the region. Europe’s debt problems remain unresolved, however the year’s first meeting between the French President Nicolas and German Chancellor Angela Merkel, which took place earlier this week, showed that the leaders of the Eurozone’s two leading economic powers remain determined to present a united front and to reach a resolution to the crisis.
<br>
<br>The market’s improved sentiment towards Europe’s single currency was illustrated during yesterday’s session, when leading credit ratings agency Fitch, issued a statement which suggested that Italy is likely to suffer a debt downgrade in the near future. In previous months, this would have caused a move against the Euro. However, the single currency held steady on the day against both the Pound and the Euro.
<br>
<br>Meanwhile, there was some room for optimism regarding Europe’s real economy, with yesterday’s release of better-than-anticipated French manufacturing and industrial production data for November. Analysts had expected both figures to show an annualised contraction for the month before last, so it was a pleasant surprise for investors holding Euro-denominated assets when the figures showed that French manufacturing output had increased by some 2.2%, while industrial output had grown by 0.9%, year-on-year.
<br>
<br>Elsewhere, the GBP AUD exchange rate traded below the 1.5000 level for the first time since last October, as market participants rediscovered their appetite for riskier assets. The GBP NZD rate also lost ground as investors scrambled for high-yielding, commodity driven currencies.
<br>
<br>
<br>For other live currency exchange rates and a currency converter see the currency news website.

POUND STERLING
<br>
<br>The Pound was buoyed by a report from the British Chambers of Commerce, released last night, which suggested that UK business leaders feel that the UK’s economy may avoid slipping into recession in 2012. This saw Sterling gain on the day against most of the majors, with the notable exception of the high-yielders. NEAR-TERM OUTLOOK – NEUTRAL TO POSITIVE.
<br>
<br>
<br>US DOLLAR – The Pound Dollar exchange rate (GBP USD) is 1.5481
<br>
<br>Support for the US Dollar has eased on the day, as stock markets recovered from their recent wobble to register significant gains. The release of the Federal Reserve’s Beige Book late on tomorrow provides the next risk event of note for the US Dollar. NEAR-TERM OUTLOOK – NEUTRAL TO NEGATIVE.
<br>
<br>
<br>EURO – The Pound Euro exchange rate (GBP EUR) is 1.2119
<br>
<br>The Euro has avoided losing any further ground against the Pound and the US Dollar on the day, in spite of an announcement by leading credit ratings agent Fitch that there is a ‘significant’ chance that they will downgrade Italy’s credit rating. There was better news for the French economy, with this morning’s data showing that the rise in the country’s industrial output was greater than anticipated in November. NEAR-TERM OUTLOOK – NEUTRAL.
<br>
<br>
<br>ARAB EMIRATES DIRHAM – The Pound Dirham exchange rate (GBP AED) is 5.6899
<br>
<br>The Dirham remains directly pegged to the US Dollar, so any relative strength, or weakness, in the USD is directly mirrored in Dirham movements. The GBP AED exchange rate has edged forward on the day, following a positive performance for global stock indices. The GBP AED rate has lost a significant amount of ground over the past 6 months, having last traded above 6.0000 as recently as the end of August. Further upside is likely for the pair, due to a weakening AED, if stock markets resume their march forward. NEAR-TERM OUTLOOK – NEUTRAL TO NEGATIVE.
<br>
<br>
<br>For other live currency exchange rates and a currency converter see the currency news website.

The Pound Euro exchange rate (GBP EUR) is 1.2029. The Pound Dollar exchange rate (GBP USD) is 1.5298. The Pound Australian Dollar exchange rate (GBP AUD) is 1.4844.
<br>
<br>The spectre of Central Bank Quantitative Easing programmes loomed over the currency markets during yesterday’s session, ahead of today’s ECB and Bank of England monetary policy announcements.
<br>
<br>However, the topic of QE was not raised by Mervyn King, nor by Mario Draghi, but instead by Charles Evans, the president of the Chicago Federal Reserve. Evans used a set piece speech to encourage the US Federal Reserve to maintain domestic interest rates at ultra-low levels, at least until the rate of unemployment in the world’s largest economy dropped from its current level of 8.5% down to 7%.
<br>
<br>Evans went on to call for the US Central Bank to consider a further loosening of monetary policy, when he stated that a new bout of quantitative easing might be necessary to promote US economic growth and employment. Evans suggested that $600bn might be a suitable tranche of funds to allocate to such a scheme.
<br>
<br>The Bank of England monetary policy committee is highly unlikely to alter the UK’s base rate from 0.5% later today, however, rumours abound in the markets that the nine-man committee may consider extending the £275bn already allocated to the Bank’s asset purchase scheme later today, in an attempt to steer the British economy away from a much-vaunted double-dip recession. Market participants appeared to be pricing this possibility in during yesterday afternoon’s European session, as Sterling was outperformed by all of the other 16 most actively-traded currencies.
<br>
<br>Meanwhile, in the Eurozone, yesterday’s German GDP growth figure for 2011 showed that Europe’s powerhouse economy had grown by 3% last year. However, the German growth data was not all good news – the figures suggested that growth had slowed to a standstill in the last three months of the year and that German economic activity may even have contracted during this period. Fears that Germany is suffering adverse effects due to uncertainty regarding the Eurozone’s debt crisis held back the Euro in late trading yesterday.
<br>
<br>
<br>For other live currency exchange rates and a currency converter see the currency news website.