Pound Sterling Exchange Rates Weaken on Poor UK Retail Sales Data
Weak retail sales figures undermined the Pound on Friday.
Sales excluding and including fuel disappointed forecasts to register growth of just 0.1% month-on-month, while annualised growth rates were significantly below economist’s predictions.
GBP/EUR Flat as Strong US Dollar Creates Euro Weakness
The GBP/EUR exchange rate was flat yesterday, with the Pound prevented from registering losses versus the Euro thanks to strong US data that pressured the common currency lower.
The Euro didn’t get much support from a speech by European Central Bank (ECB) official Benoit Coeure, even though he claimed the ECB would soon need to update its policy language, signalling that changes could be incoming.
In a very quiet data day all round, Eurozone current account and construction surplus figures are some of the most impactful data releases on the economic calendar.
GBP/USD Exchange Rate Slides in Reaction to Slew of Strong US Data
A strong run of US economic data boosted the US Dollar yesterday and sent the GBP/USD exchange rate tumbling.
Housing starts, building permits and the University of Michigan sentiment index all printed significantly above-forecasts.
This all provides yet more solid data to suggest that the Federal Reserve will be able to hike interest rates next month.
GBP/CAD Races Higher As Market Concern over US Oil Production Weighs on Crude Prices
The GBP/CAD exchange rate was able to hold onto opening levels on Friday.
Not only was the strength of the US Dollar pressuring the Canadian Dollar lower, but a surprise -0.3% decline in Canadian manufacturing sales during December, instead of 0.3% growth as predicted, pushed the ‘Loonie’ lower.
GBP/AUD Weakens as Australian Dollar Defies US Dollar Strength
Despite the strength of the US Dollar, the Australian Dollar was able to remain on strong form on Friday, pushing the GBP/AUD exchange rate below opening levels.
Reserve Bank of Australia (RBA) Governor Philip Lowe appeared before a Parliamentary committee and stated that there was no need for monetary tightening in the short-term.
Markets, however, were expecting this and so the ‘Aussie’ emerged unscathed.
The ANZ Roy Morgan weekly consumer confidence index is set for release later today.
Resilient New Zealand Dollar Forces GBP/NZD Exchange Rates Lower
Like the Australian Dollar, the New Zealand Dollar remained on strong form on Friday despite the advancing US Dollar. GBP/NZD exchange rates slumped.
Fourth-quarter New Zealand producer price figures are the only domestic data set for release today.