The Euro (EUR) has printed a 1.2% advance against the Pound Sterling (EUR/GBP) today, having been bolstered by the currently flagging state of the UK currency.
Eurozone Economic Confidence up Last Month, Breaking 4-year Record
The most recent development from the Eurozone has been the supportive announcement that Economic Confidence for the Euro area jumped up sharply in December of 2015. In the report from the European Commission, it was pointed out that this rise from 106.1 points to 106.8 was the greatest seen since April in 2011.
Earlier…
The Euro (EUR) has posted a strong gain of 0.7% against the Pound Sterling (EUR/GBP) today, potentially due to Sterling (GBP) being massively devalued by a looming negative speech by the UK Chancellor.
Bleak Opener for UK Economy in Store Today as New Year Gets Off to Rolling Start
The UK Chancellor, George Osborne, is set to burst the optimistic bubbles of many economists and investors in the UK currency today by highlighting what has been called a ‘dangerous cocktail of new threats’ that the UK economy faces. Chief among these is expected to be China, which has made the headlines already this year due to wild stock market movements.
Earlier…
The Euro (EUR) has risen by 0.4% against the Pound Sterling (EUR/GBP) today, something of an improvement on its earlier narrow trending against the UK currency.
Early Opening for Eurozone Tomorrow with Positively Forecast German Data
The Euro (EUR) seems set to hold the commanding position against the Pound Sterling (GBP) tomorrow, given that Eurozone economic publications will be present in both superior quantity and quality. The first of these will be the optimistically forecast yearly German non-seasonally adjusted Factory Orders and Retail Sales for November; both were expected to rise compared to their previous printings.
Earlier…
The Euro to Pound Sterling (EUR/GBP) exchange rate has made minor movement in a positive direction today, while in most other pairings the common currency has largely redeemed itself compared to yesterday’s performances.
EUR/GBP Exchange Rate News: Majority Positive on Eurozone PMIs see Investor Confidence Restored
The Euro (EUR) has risen fractionally against the Pound Sterling (EUR/GBP) today, while in other pairings the single currency has made advances of 0.2% against the Indian Rupee (EUR/INR), 0.3% against the South African Rand (EUR/ZAR), 0.5% against the Canadian Dollar (EUR/CAD) and 1% against the Australian Dollar (EUR/AUD).
The primary cause for this reversal of direction compared to yesterday’s all-around downtrend has been the morning’s country and currency bloc-wide December Composite and Services PMIs for the Eurozone. With the exception of Italy’s Services PMI and Frances printings in both categories, the results have otherwise been improvements on prior figures for Germany and the Eurozone. In the latter case, a rise from 54 to 54.3 has been seen for the Composite score and a similarly sized increase from 53.9 to 54.2 has been recorded for the Services result.
UK PMIs Fail to Echo Eurozone’s Support Today, seeing Sterling Lose Out against Some Rivals
The Pound Sterling (GBP) has fluctuated across the board today, with losses being made up of a minor dip against the Euro (GBP/EUR), -0.3% against the Hong Kong Dollar (GBP/HKD) and -0.8% against the Japanese Yen (GBP/JPY) and gains being comprised of 0.5% against the Turkish Lira (GBP/TRY), 0.8% against the New Zealand Dollar (GBP/NZD) and 1.2% against the Australian Dollar (GBP/AUD).
While the Euro (EUR) has been greatly aided by its various PMI releases today, the same cannot be said of the Pound. Both the UK December Composite and Services PMIs have fallen, with services exceeding expectations with its fall from 55.9 to 55.5.
According to David Noble of the Chartered Institute of Procurement and Supply, there is ‘ongoing…if slightly muted…optimism for the future’.
EUR/GBP Exchange Rate Forecast: German Economic Data at the Forefront Tomorrow Morning
The next movement in the EUR/GBP pairing seems set to come from the Euro’s (EUR) side, with Germany bringing a great deal of representation in the form of its November Retail Sales, Retail PMI and Factory Orders, along with the November Construction PMI. Releases are not limited to Deutschland, however, as the overall Eurozone annual Retail Sales for November Unemployment Rate for the same month will also be released.
At the time of writing, forecasts were positive for Germany’s Factory Orders and Retail Sales, but none had been made for the Retail and Construction PMIs. Eurozone Retail Sales are expected to decline from 2.5% to 2%, while the Unemployment Rate is predicted to remain static at 10.7%.
The only UK data to speak of tomorrow will be the annual December New Car Registrations, which have no forecast assigned but previously printed at 3.80%.
Current EUR, GBP Exchange Rates
The Euro to Pound Sterling (EUR/GBP) exchange rate was trending in the region of 0.7330 and the Pound Sterling to Euro (GBP/EUR) exchange rate was trending in the region of 1.3645 today.