The Euro
The Euro was firmer against the Pound as the UK currency was weighed upon by worse than forecast house price data and as ECB policy maker and head of the German Central Bank Jens Weidmann said that he was not worried about deflation. He also declared that Germany’s economic recovery will continue this year due to low unemployment and increased domestic demand. His comments eased concerns after data showed that Eurozone inflation slipped further away from the ECB’s target of 2%.
Currently the Euro is trading in the region of 0.8324 against the Pound and 1.3602 against the US Dollar.
Australian Dollar AUD/EUR
The ‘Aussie’ plummeted against all of its most traded peers due to release of worse-than-expected employment data. Employment fell by 22,600 well below economist forecasts for a rise of 15,000. The Euro climbed close to a four-year high as a result.
Currently the Australian Dollar is trading in the region of 0.5389 against the Pound, 0.6473 against the Euro and 0.8804 against the US Dollar.
US Dollar USD/EUR
The ‘Greenback’ was mixed against the Euro and Pound following the release of a report which showed that the number of US citizens filing for continuing unemployment benefit rose back above the three million mark in January. Another report however showed that the number of new claimants fell last week to a six-week low. A separate report showed that inflation rose by 0.3% in December compared to the previous month.
Currently the US Dollar is trading in the region of 0.6120 against the Pound and 0.7351 against the Euro.
Pound Sterling GBP/EUR
The Pound spent much of Thursday’s session mixed against the Euro and US Dollar as the release of weaker than expected house price data early on weighed upon the currency. Sterling had been under pressure after an economic surprise index released yesterday slipped to a six-week low. Speculation that the UK economy could be slowing is likely to continue to weigh unless Friday’s retail sales data comes in strongly.
Currently the Pound is trading in the region of 1.2006 against the Euro and 1.6340 against the US Dollar.
Canadian Dollar CAD/EUR
The Canadian Dollar regained some ground following the release of mixed data in the United States. Despite that the currency is expected to resume its downward trend. A weak ‘Loonie’ is likely to help the Canadian economy by supporting manufacturers and exporters who have been hit by the high currency. A lower ‘loonie’ helps exporters selling their goods in the United States, and gives tourists visiting Canada and Americans doing business there more buying power.
Currently the Canadian Dollar is trading in the region of 0.5599 against the Pound, 0.6726 against the Euro and 0.9148 against the US Dollar.
