The Euro to Pound Sterling (EUR/GBP) exchange rate has advanced today after the day’s only UK economic releases all missed expectations.
EUR/GBP Exchange Rate News: Euro Stays Strong against Rivals despite ECB Pessimism
The Euro (EUR) has gained by 0.3% against the Pound Sterling (EUR/GBP) today; this has been just one of a number of beneficial results for the single currency. Also included on the positive side have been rises of 0.3% against the US Dollar (EUR/USD) and more than 0.6% against the Japanese Yen (EUR/JPY) and the South African Rand (EUR/ZAR).
These gains for the common currency have come chiefly from apparent renewed optimism out of Greece following the passing of a vote of no-confidence yesterday for Prime Minister Alexis Tsipras’ government; this has been just one of a number of steps leading towards the implementation of new economic policies as part of the third bailout conditions. This promise of stability has come in spite of several other destabilising factors for the Euro, such as the European Central Bank’s (ECB) recent minutes showing a slightly dovish attitude towards the future of the Eurozone, the ongoing Volkswagen scandal and today’s Greek Inflation Rate figures falling in the negative.
Pound Sterling (GBP) Fares Poorly as UK Trade, Construction Figures Fail to meet with Forecasts
The Pound Sterling (GBP) has found itself in a precarious position today following UK-centric releases coming out negative. All three of the UK Trade Balance figures for August fell slightly to indicate a reduction of the deficit, but these drops still left the shortfalls wider-than-forecast. Negative postings in the August Construction Output data proved to be the last straw and pushed the Pound down against most of the competition.
This has included declines of -0.3% against the Euro (GBP/EUR), -0.4% against the New Zealand Dollar (GBP/NZD), -0.6% against the Israeli New Shekel (GBP/ILS) and -0.7% against the Russian Ruble (GBP/RUB). In terms of gains, only rises of over 0.3% have been seen against the Turkish Lira (GBP/TRY) and the South African Rand (GBP/ZAR).
EUR/GBP Exchange Rate Forecast: Portuguese Trade Data to be Final Impactor on Pairing into the Weekend
As practically all of the Eurozone and UK economic publications have come out today, the only remaining release that has the potential to influence the pairing is the Portuguese Balance of Trade figure for August. At the time of writing, forecasts were pessimistic for the outcome, with a widening of the current deficit from -€662m to -€900.9m being predicted. However, the information has been classified as low-impact, therefore even meeting with predictions may not have a real discernible effect on the Euro to Pound Sterling (EUR/GBP) exchange rate.
Current EUR, GBP Exchange Rates
The Euro to Pound Sterling (EUR/GBP) exchange rate was trending in the region of 0.7371 and the Pound Sterling to Euro (GBP/EUR) exchange rate was trending in the region of 1.3570 today.
