This week's exchange rate news
Last week saw the Pound up a little against most major currencies - but there was good and bad news out in terms of economic data, and the UK's currency remains sensitive to falls whenever there is any negative sentiment...
Tuesday's manufacturing data, for example, was better than expected and gave the Pound a welcome boost - only for rates to come tumbling back down on Wednesday when Bank of England Governor Mervyn King delivered the quarterly inflation report with some deliberate predictions of a longer and more protracted recession than headlines have been suggesting.
Elsewhere, the Australian Dollar dropped below £1 = $2 for the first time in years, as investors moved funds into AUD to take advantage of higher interest rates than elsewhere in the world.
This week we have another busy set of figures which are likely to affect exchange rates whether you are sending money abroad, or transferring currency back to the UK.
Tuesday 19th
2.30am - RBA Minutes (Australia) - explanation as to the RBA's decision to hold Australian interest rates this month
9.30am - Consumer and Retail Price Index (UK) - the main measures of UK inflation. Inflation figures are a key economic indicator and are likely to lead to volatility for the Pound
1.30pm - Housing Starts (USA) - figures for new house construction in the USA, could affect US Dollar exchange rates
Wednesday 20th
9.30am - Bank of England Minutes (UK) - statement following this month's interest rate meeting. Contains important comment from the Bank of England on the UK's growth and inflation prospects
12.00pm - Consumer Price Index (Canada) - anyone transferring money to Canada should watch exchange rates at this time
7.00pm - FOMC Minutes (USA) - American equivalent of the Bank of England minutes
Thursday 21st
9.30am - Retail Sales (UK)
If you have any requirements for buying or selling currency, speak to a specialist currency broker who will be able to explain the impact on your transaction for your individual circumstances.
Picture by shadowkill