Weekly Currency Update - GBP/USD Week ending 4th September
Sep 9th 2009, 10:18 am
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Weekly Currency Update - GBP/USD Week ending 4th September
Hi All,
As promised here’s a brief update on what’s been happening with the US Dollar over the last week.
As has been the trend in recent months, equity markets took the positives from the Non-farm Payrolls data and rose 1% on Friday. The headline number showed Payrolls falling 216k, slightly beating market expectations and falling at the slowest pace since August 2008; however both June and July payroll losses were revised up by 49k. The Unemployment Rate (9.7%) was worse than the consensus and has now climbed to its highest level since June 1983. Unemployment is not forecast to peak until well into 2010 and will inevitably drag down consumer spending that drives 70% of US GDP (Gross Domestic Product). Elsewhere data was supportive of a stabilising economy with the ISM (Institute for Supply Management) Manufacturing PMI (52.9) crossing into expansion for the first time in 19 months and Factory Orders (+1.3%) continuing recent improvement.
USD Movement – High’s & Low’s of last week (31/08/09 – 04/09/09)
High’s: 1.6414
Low’s: 1.6113
A movement of: 1.87%.
Difference on £200k
High: $328,280
Low: $322,260
Difference of: $6,020
Whilst FX isn't the most thrilling of subjects, the sooner you begin to think about your money transfers, the more likely you are to make your money go further.
A further update will be added next week.
Regards
Mark Bodega
Director - HiFX
As promised here’s a brief update on what’s been happening with the US Dollar over the last week.
As has been the trend in recent months, equity markets took the positives from the Non-farm Payrolls data and rose 1% on Friday. The headline number showed Payrolls falling 216k, slightly beating market expectations and falling at the slowest pace since August 2008; however both June and July payroll losses were revised up by 49k. The Unemployment Rate (9.7%) was worse than the consensus and has now climbed to its highest level since June 1983. Unemployment is not forecast to peak until well into 2010 and will inevitably drag down consumer spending that drives 70% of US GDP (Gross Domestic Product). Elsewhere data was supportive of a stabilising economy with the ISM (Institute for Supply Management) Manufacturing PMI (52.9) crossing into expansion for the first time in 19 months and Factory Orders (+1.3%) continuing recent improvement.
USD Movement – High’s & Low’s of last week (31/08/09 – 04/09/09)
High’s: 1.6414
Low’s: 1.6113
A movement of: 1.87%.
Difference on £200k
High: $328,280
Low: $322,260
Difference of: $6,020
Whilst FX isn't the most thrilling of subjects, the sooner you begin to think about your money transfers, the more likely you are to make your money go further.
A further update will be added next week.
Regards
Mark Bodega
Director - HiFX
