Money Transfer.co.uk
Compare money transfers, currency exchange and international transfer
Mon 30 Dec 2024 17:01GMT
Compare Money Transfers. Safe. Fast. Free.
A money transfer through a foreign exchange broker is the smart move. With excellent exchange rates and fee-free transfers, you could save time and money.
I need to send money...
US Dollar (USD) Exchange Rate Declines Today, US Growth Forecast to Slow
Published: 27 Oct at 5 PM Tags: Pound Sterling, Euro Exchange Rate, Dollar Exchange Rate, Currency Exchange, Euro Crisis, Yen Exchange Rate, UK, Exchange Rates, Economy,
At the beginning of the week the US Dollar softened against the Pound (USD/GBP) and weakened against the Yen (USD/JPY) as below-forecast domestic data saw investors pare back their interest rate hike bets. The US Dollar came under pressure after both the Markit US Services and Composite PMI’s softened in October, with the former sliding to 57.3 and the latter hitting 57.4 from respective figures of 58.9 and 59.0.
In his accompanying analysis, Markit economist Chris Williamson noted; ‘Having signalled an annualised rate of GDP growth of approximately 3.5% in the third quarter, the October readings indicate that the pace of economic growth looks set to moderate in the fourth quarter, down to perhaps 2.5% or less if the PMI falls further in coming months. There are clearly many concerns, ranging from worries about the impact of Ebola, the Ukraine crisis, the ongoing plight of the Eurozone , signs of further weakness in emerging markets and the Fed starting to tighten policy.’
Demand for the US Dollar was also undermined by disappointing Pending Home Sales figures. It had been forecast that pending home sales would increase by 1.0% on the month in September, wiping out the previous month’s -1.0% decline, but sales only climbed by 0.3%. On the year sales were up 1.0% rather than the 2.2% anticipated. The reports saw the ‘Greenback’ slide for a second day. The US Dollar is also feeling the pressure ahead of the Federal Open Market Committee interest rate announcement. While the Fed is expected to leave interest rates on hold, the central bank is scheduled to bring its quantitative easing programme to an end. However, in light of recent global growth concerns some industry experts have argued that the FOMC should extend QE until the end of the year. US GDP figures are also scheduled for publication this week. The US economy expanded at an annualised pace of 4.6% in the second quarter of the year and it is believed growth slowed to 3.0% in the third quarter. A surprising figure could spark US Dollar volatility.
If you’ve got a foreign currency exchange requirement coming up which involves the US Dollar you may want to get in touch with a leading currency broker. A reputable broker will be able to keep you abreast of all the latest exchange rate movements and currency trends, ensuring that you pick the most profitable time to make a trade.
In his accompanying analysis, Markit economist Chris Williamson noted; ‘Having signalled an annualised rate of GDP growth of approximately 3.5% in the third quarter, the October readings indicate that the pace of economic growth looks set to moderate in the fourth quarter, down to perhaps 2.5% or less if the PMI falls further in coming months. There are clearly many concerns, ranging from worries about the impact of Ebola, the Ukraine crisis, the ongoing plight of the Eurozone , signs of further weakness in emerging markets and the Fed starting to tighten policy.’
Demand for the US Dollar was also undermined by disappointing Pending Home Sales figures. It had been forecast that pending home sales would increase by 1.0% on the month in September, wiping out the previous month’s -1.0% decline, but sales only climbed by 0.3%. On the year sales were up 1.0% rather than the 2.2% anticipated. The reports saw the ‘Greenback’ slide for a second day. The US Dollar is also feeling the pressure ahead of the Federal Open Market Committee interest rate announcement. While the Fed is expected to leave interest rates on hold, the central bank is scheduled to bring its quantitative easing programme to an end. However, in light of recent global growth concerns some industry experts have argued that the FOMC should extend QE until the end of the year. US GDP figures are also scheduled for publication this week. The US economy expanded at an annualised pace of 4.6% in the second quarter of the year and it is believed growth slowed to 3.0% in the third quarter. A surprising figure could spark US Dollar volatility.
If you’ve got a foreign currency exchange requirement coming up which involves the US Dollar you may want to get in touch with a leading currency broker. A reputable broker will be able to keep you abreast of all the latest exchange rate movements and currency trends, ensuring that you pick the most profitable time to make a trade.
Advertisement
Source: moneytransfer.co.uk