{"id":2822,"date":"2013-05-09T16:02:34","date_gmt":"2013-05-09T16:02:34","guid":{"rendered":"http:\/\/www.mycurrencytransfer.com\/blog\/?p=2822"},"modified":"2013-05-09T16:02:34","modified_gmt":"2013-05-09T16:02:34","slug":"boe-rate-decision-sterling-up-for-action","status":"publish","type":"post","link":"https:\/\/www.mycurrencytransfer.com\/blog\/boe-rate-decision-sterling-up-for-action\/","title":{"rendered":"All eyes tuned to BoE\u2019s rate decisions, Sterling up for action"},"content":{"rendered":"<p>Sinduja Venkat <a href=\"https:\/\/plus.google.com\/111687047260609547765\/\">Google<\/a> +<\/p>\n<p>Good morning and welcome to today\u2019s foreign exchange market commentary on Thursday, the 9th of May.<b>\u00a0<\/b><\/p>\n<p><b>Here are MyCurrencyTransfer.com\u2019s top 5 currency highlights:<\/b><\/p>\n<ul>\n<li>Sterling up for action as BoE gets set to announce rate decision<\/li>\n<li>AUD finally rallies on Strong Jobs Report<\/li>\n<li>Euro strengthens amidst talks of Stimulus Support<\/li>\n<li>Wall Street upbeat on strong German data<\/li>\n<li>Asian markets retreat after China posts inflation<\/li>\n<\/ul>\n<p><b>CURRENCY RATES OVERVIEW\u00a0<\/b><\/p>\n<p><b>GBP\/EURO \u2013 <\/b>1.1807<br \/>\n<b>GBP\/USD \u2013 <\/b>1.5536<br \/>\n<b>GBP\/CHF \u2013 <\/b>1.4521<br \/>\n<b>GBP\/CAD &#8211; <\/b>1.5572<br \/>\n<b>GBP\/AUD \u2013 <\/b>1.5184<br \/>\n<b>GBP\/ZAR \u2013 <\/b>13.9637<br \/>\n<b>GBP\/JPY \u2013 <\/b>153.0714<br \/>\n<b>GBP\/HKD \u2013 <\/b>12.0559<b>\u00a0\u00a0 <\/b><br \/>\n<b>GBP\/NZD \u2013 <\/b>1.8385<br \/>\n<b>GBP\/SEK \u2013 <\/b>10.1009<\/p>\n<p><i>Mid-market rates as of 2013-05-09 04:43 UTC<\/i><\/p>\n<p><b>Making an international payment? Compare money transfer deals and save 3-5 % on your currency. <\/b>Making an\u00a0? <a href=\"http:\/\/www.mycurrencytransfer.com\">Compare money transfer<\/a> deals and save 3-5 % on your currency exchange with better-than-bank exchange rates.<\/p>\n<p><b>Key releases in the next 24 hours that may affect currency date:<\/b><\/p>\n<p><b>Australia:\u00a0<\/b>No Data<br \/>\n<b>Europe:<\/b>\u00a0EUR ECB Publishes Monthly Report<br \/>\n<b>United Kingdom:\u00a0<\/b>GBP Industrial Production (YoY) (MAR), GBP Manufacturing Production (YoY) (MAR), GBP Bank of England Rate Decision (MAY 9), GBP BOE Asset Purchase Target (MAY), GBP NIESR Gross Domestic Product Estimate (APR)<br \/>\n<b>New Zealand:\u00a0<\/b>NZD Unemployment Rate (1Q), NZD Employment Change (QoQ) (1Q), NZD Employment Change (YoY) (1Q)<br \/>\n<b>United States of America:<\/b>\u00a0USD Wholesale Inventories (MAR), USD Initial Jobless Claims (MAY 4)<br \/>\n<b>China:<\/b> No Data<br \/>\n<b>Canada<\/b>: CAD New Housing Price Index (YoY) (MAR)<br \/>\n<b>Japan: <\/b>JPY Trade Balance &#8211; BOP Basis (Yen) (MAR), JPY Bank Lending including Trusts (YoY) (APR)<\/p>\n<p><b>Sterling up for action as BoE gets set to announce rate decision<\/b><\/p>\n<p>The Sterling closed 41 pips higher yesterday at 1.5541 ahead of today\u2019s busy trading session with UK\u2019s Industrial Production and Manufacturing Production data due earlier following which all eyes will be tuned to Bank of England\u2019s decisions on interest rates and stimulus measures which are due before midday.<\/p>\n<p>In the past weeks UK has been able to post promising PMI figures for the construction, manufacturing, and services sectors. Data Reports that have medium impact including housing related data have also posted a good showing. Analysts expect that BoE will leave the current monetary policy virtually unchanged as there have been signs of economic resilience despite the austerity of the policy measures.<\/p>\n<p>In the past week the trend observed among several central banks including European Central Bank (ECB), Reserve Bank of Australia (RBA) and South Korea\u2019s central bank, has been one of rate cuts. Globally there have been efforts to inject support into the financial system to stimulate growth. The UK as a country still risks facing a \u00a0triple dip recession and is vulnerable to events in the Eurozone. Given the environmental factors market participants expect that the BoE will give in to pressure and sanction a stimulus programme.<\/p>\n<p><b>AUD finally rallies on Strong Jobs Report<\/b><\/p>\n<p>AUD plummeted this morning following employment figures for the month of April. Net jobs change was at\u00a0 50,100 &#8211; a position that is five times more than the levels forecasted. Furthermore this rise in employment levels was based on full-time positions increasing and was accompanied by a decline in unemployment rate.<\/p>\n<p><b>Euro strengthens amidst talks of Stimulus Support<\/b><\/p>\n<p>The EUR\/USD increased from 1.3000 following strong German factory reports data. Post ECB rate cuts last week there has been concern that the economic easing policies that would be enacted would do little to benefit the Euro other than succeeding in curbing inflation. However the ECB will now go further according to a report from Die Welt, and purchase Asset Backed Securities (ABS) to inject money to SMEs. EUR\/GBP pair transits session lows today. The pair is now trading at 0.840 being dragged done by the renewed strength in the sterling and the resilience of the single currency.<\/p>\n<p><b>Wall Street upbeat on strong German data<\/b><\/p>\n<p>US markets closed higher on Wednesday as market participants remained confident following upbeat Germany industrial production data and the jump in the MBA mortgages. Dow Jones and S&amp;P500 closed at record highs for the fifth consecutive trading session.<\/p>\n<p><b>Asian markets retreat after China posts inflation<\/b><\/p>\n<p>Chinese data indicated higher inflation with CPI (MoM and YoY) increasing by 0.2% and 2.4% respectively in the month of April. Nikkei 225 was trading in the red at 14191.48, descending by 94.21 points while Hang Seng Index also traded in the negative at 23197.10, posting a decline of 39.63 points.<\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Sinduja Venkat Google + Good morning and welcome to today\u2019s foreign exchange market commentary on Thursday, the 9th of May.\u00a0 Here are MyCurrencyTransfer.com\u2019s top 5 currency highlights: Sterling up for action as BoE gets set to announce rate decision AUD finally rallies on Strong Jobs Report Euro strengthens amidst talks of Stimulus Support Wall Street upbeat on strong German data [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[110],"tags":[],"_links":{"self":[{"href":"https:\/\/www.mycurrencytransfer.com\/blog\/wp-json\/wp\/v2\/posts\/2822"}],"collection":[{"href":"https:\/\/www.mycurrencytransfer.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.mycurrencytransfer.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.mycurrencytransfer.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.mycurrencytransfer.com\/blog\/wp-json\/wp\/v2\/comments?post=2822"}],"version-history":[{"count":1,"href":"https:\/\/www.mycurrencytransfer.com\/blog\/wp-json\/wp\/v2\/posts\/2822\/revisions"}],"predecessor-version":[{"id":2823,"href":"https:\/\/www.mycurrencytransfer.com\/blog\/wp-json\/wp\/v2\/posts\/2822\/revisions\/2823"}],"wp:attachment":[{"href":"https:\/\/www.mycurrencytransfer.com\/blog\/wp-json\/wp\/v2\/media?parent=2822"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.mycurrencytransfer.com\/blog\/wp-json\/wp\/v2\/categories?post=2822"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.mycurrencytransfer.com\/blog\/wp-json\/wp\/v2\/tags?post=2822"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}