After a quiet Monday, yesterday was an eventful day on the currency markets, with (in the UK at least) various officials and commentators doing their best to make up for the relatively quiet data calendar. Sterling rallied mid morning, threatening the 1.5900 level against the Dollar after Q2 GDP growth...

Aside from the light data calendar, scant direction from equity markets saw most of the major currencies confined to recent ranges. GBP/ EUR and GBP/USD have traded within just over a half cent range over the last 24 hours.

Sterling rallied to a six-week high against the dollar on Friday as the U.S. currency came under broad selling pressure. Weak U.S. housing market data has again highlighted weakness in the economy. Poor new new home sales helped push the pound up more than 1 percent on the day versus...

After a very poor start to the week, sterling has finally found some support which looks like it comes from weakness in the other currencies rather than actual pound strength. The Euro has come off from its recent highs following yesterday’s worse than expected data.

The US Dollar had one of its worst days in some time yesterday falling against most of the Majors. The Euro lead the way managing to climb from around 1.31 to above 1.34 in a day although it has come off a little this morning.

GBP/USD - Both currencies are weakening but USD is weakening faster. If you are exporting and being paid in USD - now might be a good time to ocnsider locking in a forward contract price. This will ensure your profit is protected.

The US Fed kept interest rates on hold last night but some details in their statement were picked up by investors as being negative for the USD. The Fed said that the recovery was “likely to be modest in the near term” which was to be expected.

Sterling was hit yesterday by new Bank of England data showing a slowdown in the UK recovery. BoE data showed that lending to UK businesses fell for the fifth month in July and home loan approvals are at the lowest in more than a year.

Little data out on Friday changed investor sentiment going into the weekend with US inflation coming in unchanged at 1.1%. The Reuters Michigan Consumer Sentiment Index also came in quite weak on Friday afternoon at 66.6, lower than the expected 70.3 and shows a drop in consumer confidence in the...

The Euro has found strength again as sentiment improves and fears on sovereign debt wane. The Euro saw a 1 month high against the USD in the early hours of this morning at 1.3130 and GBP/EUR is struggling to get back up toward the 1.20 mark.