Best Exchange Rates

Pound Traders Unsettled by Expanding UK Deficit

Categories: AUD, CAD, EUR, GBP, Markets, News, NZD, USD

Pound Sterling (GBP)

The Pound drifted lower today following disappointing UK borrowing news.

The government’s public sector borrowing figure has expanded by more than expected in October, increasing from 4.43bn to 7.46bn.

Estimates had been for a 6.6bn reading, so the higher deficit only further complicates tomorrow’s budget announcement.

Sterling could turn volatile later today as traders look to Wednesday’s delivery of the Autumn budget by Chancellor Philip Hammond.

Euro (EUR)

As the German political crisis rumbles on, the Euro has made minor gains against the Pound and US Dollar.

This appreciation follows the news that the Spanish trade deficit has reduced by more than forecast.

The Euro could make greater gains against its regular peers on Wednesday afternoon if the November consumer confidence flash improves as forecast.

Economists had previously expected no change in the -1 point reading, but now a minimal improvement to -0.8 points has been predicted.

US Dollar (USD)

The US Dollar has been relatively weak today, trading in a tight range against the Euro and Pound. Elsewhere, USD has either declined or made minimal gains.

This unimpressive movement comes ahead of a speech tonight from Federal Reserve Chair Janet Yellen.

Yellen will be replaced as Chair in 2018, but for now she still has enough clout to cause US Dollar fluctuations.

Australian Dollar (AUD)

Dovish Reserve Bank of Australia (RBA) minutes weakened the Australian Dollar overnight.

The RBA minutes show increasing uncertainty among policymakers about the path of wage growth.

The Australian Dollar could drop again when tonight’s construction output report is published. Forecasts are for a -2.1% decline in Q3.

New Zealand Dollar (NZD)

The New Zealand Dollar has been one of today’s currency losers, having recorded minor losses against most of its regular peers.

NZ economic issues have focused on a potential oversupply of dairy products, a situation which could lead to lower prices and have a negative impact on NZ dairy exporters.

These fears will be put to the test this afternoon, when Global Dairy Trade price index stats come out.

Dairy prices previously fell by -3.5%, so another drop might lead to NZD losses.

Canadian Dollar (CAD)

A sudden upturn in crude oil prices have seen the Canadian Dollar post mixed movement today.

CAD has seen fractional gains against the Euro today, but has otherwise fluctuated against its other usual rivals.

The Canadian Dollar might see more solid gains on this afternoon’s wholesale sales figures, which are tipped to show a rise from 0.5% to 0.6%.

TorFX Author: TorFX

“Our company’s mission is to provide outstanding exchange rates, expert guidance and a simple, friendly service that people will want to recommend to others.” – Jon Beddell (CEO). Contact TorFX for an FX Quote – UK & Europe – Australia & NZ.

Please note that the opinions of our authors are their own and do not reflect the opinion of Best Exchange Rates and should not be taken as a reference to buy or sell any financial product. Full Disclaimer

BER Newsletter

Subscribe for the latest exchange rates, currency news and special offers directly to your inbox.

Best Exchange Rates - We make it Easy to Compare Exchange Rates & Fees of Banks and Currency Exchange & Payment Providers


Level 2, AMP Tower, 50 Bridge Street, Sydney, NSW 2000, Australia

Disclaimer | Copyright | Privacy Statement


DISCLAIMER

Best Exchange Rates is an information only service. By browsing on the website, using our comparison tools or FX provider referral service, you are asking Best Exchange Rates to provide you with information about currency exchange products & services from multiple financial institutions.

We will try to show you a range of products & services in response to your request for information. The search results do not include all providers and may not compare all features relevant to you. In giving you product information we are not making any suggestion or recommendation to you about a particular product.

If you decide to conduct foreign exchange you will deal directly with a financial institution, and not with Best Exchange Rates. Rates and product information should be confirmed with the relevant financial institution, see our terms of use for further details.

Best Exchange Rates may receive fees or other benefits in relation to activity on the Best Exchange Rates website. Best Exchange Rates may receive remuneration for vendor referral links. Please note that the opinions of our authors are their own and do not reflect the opinion of Best Exchange Rates and should not be taken as a reference to buy or sell any financial product.

Read our Full Terms of Service



COPYRIGHT

This website and its contents are the copyright of BEST EXCHANGE RATES PTY LTD © 2009-17. All rights reserved.

Any redistribution or reproduction of part or all of the contents in any form is prohibited other than the following. You may print or download contents to a local hard disk for your personal and non-commercial use only. You may copy some extracts only to individual third parties for their personal use, but only if you acknowledge the website as the source of the material.

You may not, except with our express written permission, distribute or commercially exploit the content. You may not transmit it or store it on any other website or other form of electronic retrieval system.

For more details or request distribution right please contacxt us here.