News

Currency Index bank holiday opening times

28 July, 2011

CurrencyIndex

With Easter and the royal wedding coming up, Currency Index will be open at the following times. While many markets around the world will be closed over Easter, don’t forget that the bank holiday next Friday 29th only affects the UK, and therefore currency markets will still be active.

Monday 18th – Wednesday 20th: 9.00am – 5.30pm
Thursday 21st: 9.00am – 5.00pm
Friday 22nd – Monday 25th: CLOSED (Easter)
Tuesday 26th & Wednesday 27th: 9.00am to 5.30pm
Thursday 28th: 9.00am to 5.00pm
Friday 29th to Monday 2nd: CLOSED (Royal Wedding & May bank holiday)
Tuesday 3rd Onwards: as normal

Please call us on 0800 043 2623 (+44 1923 725725) if you have payments to make over the bank holiday periods.

Economic calendar this week

28 July, 2011

CurrencyIndex

This week’s 2 main events for the UK economy, and therefore the Pound, are Wednesday’s Bank of England minutes (where we will find out how many of the 9-strong monetary policy committee voted for an interest rate rise this month) and Thursday’s retail sales and public borrowing figures.

It looks like the Bank of England are now unlikely to raise interest rates in the coming few months, which has been sending sterling lower against most major currencies.

Monday 18th
1500 – Eurozone consumer confidence

Tuesday 19th
0230 – Australian interest rate minutes
0900 – Eurozone current account & purchasing inflation
1200 – Canadian CPI inflation

Wednesday 20th
0700 – German PPI inflation
0930 – Bank of England minutes
1500 – US existing home sales

Thursday 21st
0930 – UK retail sales, public borrowing & mortgage approvals
1330 – Canadian retail sales & US jobless claims
1500 – US house price index

Friday 22nd
Good Friday – bank holiday

UK unemployment falls… slightly

28 July, 2011

CurrencyIndex

Sterling’s tumble against the Euro has taken a pause for the last 24 hours, after UK unemployment figures were slightly better than expected yesterday morning.

Tomorrow we have important data in Europe and the USA, although nothing due out in the UK. Eurozone inflation figures are out at 10am, and in the States the same figures are announced at 12.30pm. Both are likely to influence monetary policy, and therefore exchagne rates for buying both Euros and Dollars.

Inflation falls – and takes Pound with it

28 July, 2011

CurrencyIndex

The UK’s headline inflation rate has fallen from 4.4% to 4% – making interest rate rises less likely and causing losses for sterling in FX markets.

The Pound has lost around a cent against both the Euro and US Dollar.

Tomorrow we have unemployment figures at 9.30am.

Currency news this week 59

28 July, 2011

CurrencyIndex

A busy week ahead, which those of you sending money abroad will hope can give sterling some strength. The Pound has been stuck between a weaker US Dollar and stronger Euro for the last 2 weeks, with rates for buying USD now looking very healthy, while Euro rates are at their worst since October and still falling.

Tuesday is the busiest day for UK data this week, with the trade balance and key inflation data both released at 9.30am.

Monday 11th
UK: RICS house price balance; BRC retail sales monitor

Tuesday 12th
0700 – German CPI inflation
0930 – UK trade balance, RPI & CPI inflation
1000 – Eurozone & German ZEW economic sentiment surveys
1330 – US trade balace & import price index
1400 – Canadian interest rate decision
1900 – US budget statement

Wednesday 13th
0930 – UK unemployment rate & claimant count
1330 – US retail sales
1530 – Canadian monetary policy report

Thursday 14th
G20 meeting
0900 – Eurozone monthly budget report
1330 – US PPI inflation & jobless claims

Friday 15th
G20 meeting
1000 – Eurozone trade balance & CPI inflation
1330 – US CPI inflation

US Dollar rate reaches new highs

28 July, 2011

CurrencyIndex

The weakening US Dollar has given us near the best exchange rates since the end of 2009 today, for anybody sending money to the USA.

The Euro continues to strenghten, despite the Portuguese bailout plans, which won’t necessarily give us better EUR rates. When the Greek economy was bailed out last year, the Euro actually became more expensive, as these moves are seen as a sign of unity and strength in the Eurozone.

The Pound is also vulnerable to European problems, due to the UK’s exposure to Eurozone banks and institutions.

Eurozone raise interest rates, as Bank of England holds on

28 July, 2011

CurrencyIndex

The European Central Bank has today raised interest rates in the single currency zone, for the first time since July 2008, to 1.25%. The Bank of England in its own meeting today, has kept UK interest rates on hold at 0.5%.

The ECB’s move was generally expected, and had been ‘priced in’ in advance to give a stronger (more expensive) Euro over the last couple of weeks. ECB President Trichet will now give a press conference explaining the move, while we will have to wait 2 weeks to discover how close the Bank of England came to raising UK rates today too.

Interest rates are a key driver of exchange rates, so to discuss the implications on your own transaction, contact us at Currency Index.

Currency news this week 62

28 July, 2011

CurrencyIndex

This week’s main economic news releases are the interest rate decisions in the UK and Eurozone on Thursday lunchtime. We expect the UK rate to remain unchanged at 0.5%, while the ECB may well raise rates to 1.25%. Speculation of a rate hike in Europe has led to the Euro gaining strength against sterling, giving worse exchange rates for buying Euros.

If you are looking to buy or sell Euros in the near future, contact Currency Index for the latest news. As Thursday approaches we may see some volatility and chances to buy or sell at preferential rates.

Monday 4th
0930 – UK construction PMI (Mar)
1000 – Eurozone PPI inflation (Feb)

Tuesday 5th
0015 – Speech: Ben Bernanke (US Federal Reserve Chairman)
0230 – Australian trade balance (Feb)
0530 – Australian interest rate decision
0930 – UK services PMI (Mar)
1000 – Eurozone retail sales (Feb)
1900 – Federal Reserve interest rate minutes

Wednesday 6th
0930 – UK industrial & manufacturing production (Feb)
1000 – Eurozone GDP (Q4 2010)
1500 – UK GDP estimate

Thursday 7th
0230 – Australian unemployment (Mar)
1200 – Bank of England interest rate decision
1245 – Eurozone interest rate decision

Friday 8th
0645 – Swiss unemployment (Mar)
0700 – German trade balance (Feb)
1200 – Canadian unemployment (Mar)

US employment figures boost dollar

28 July, 2011

CurrencyIndex

Today’s US ‘non-farm payroll’ figures – the main monthly measure of new jobs in the USA – came out better than expected at 216,000.

The American unemployment rate also dropped slightly to 8.8%.

As both of these measures boost confidence in the US economy, the Dollar has gained strength (become more expensive), with the market rate now back below $1.60 against sterling.

No good news for Pound

28 July, 2011

CurrencyIndex

This week’s lack of data releases has done nothing to help sterling, as speculation that the Eurozone interest rate could go up next week continues. In the absence of UK interest rate rises, the Eurozone base rate could leap further away, causing Euro strength and worse exchange rates for sending money to Europe from the UK.

If you have a requirement to send or receive foreign currency in the coming weeks, contact Currency Index who will be happy to keep you informed of the latest news and rates.