Homepage » News » EUR/GBP » Pound to Euro (GBP/EUR) Exchange Rate Hits 1.35, Sterling to US Dollar (GBP/USD), Canadian Dollar (GBP/CAD) Drop on Markit’s UK Manufacturing PMI

Pound to Euro (GBP/EUR) Exchange Rate Hits 1.35, Sterling to US Dollar (GBP/USD), Canadian Dollar (GBP/CAD) Drop on Markit’s UK Manufacturing PMI

The Pound Sterling to Euro (GBP/EUR), Pound Sterling to Canadian Dollar (GBP/CAD) and Pound Sterling to US Dollar (GBP/USD) exchange rates all declined in Friday’s European trading after the Markit UK Manufacturing Purchasing Managers Index (PMI) printed below forecast.

The Manufacturing PMI fell to 51.9 in April from the previous month’s negatively revised 54.0, rather than climbing to 54.6 in line with predictions.

As a result, the Pound Sterling to Euro (GBP/EUR) exchange rate hit a three-week low of 1.3587.

Pound Sterling to Euro (GBP/EUR) Exchange Rate Forecast

The Pound Sterling to Euro (GBP/EUR) exchange rate has fallen dramatically this week. After frequently residing above the 1.40 benchmark in recent weeks, the Pound has dipped significantly lower to 1.35 on Friday.

Despite ongoing (and rather unfruitful) Greek negotiations taking place in recent months, the Euro (EUR) exchange rate had a rally on Thursday as the US Dollar (USD) softened.
Additionally, the Eurozone escaped deflation yesterday, allowing the Euro (EUR) exchange rate to shoot up.

However, with many European markets closed on Friday for a May bank holiday, the Euro is left to fluctuate on any global developments.
Monday could be an interesting day for the Euro to Pound Sterling (EUR/GBP), Euro to Canadian Dollar (EUR/CAD) and Euro to US Dollar (EUR/USD) exchange rates with the release of the Eurozone’s Sentix Investor Confidence stat. In addition, Greek negotiations will continue and are likely to heat up Euro (EUR) exchange rate trading in coming weeks.

Pound Sterling to US Dollar (GBP/USD) Exchange Rate Forecast

The Pound Sterling to US Dollar (GBP/USD) exchange rate could be in for an interesting day on Friday with the release of several important US ecostats. This afternoon will heat up with the highly influential US ISM Manufacturing stat, accompanied by US Construction Spending and University of Michigan Confidence numbers.

Additionally, Federal Reserve officials are scheduled to speak throughout the day and could cause major US Dollar to Pound Sterling (USD/GBP) exchange rate swings if monetary policy is mentioned.

After a string of weaker-than-forecast US data, the US Dollar to Euro (USD/EUR), US Dollar to Pound Sterling (USD/GBP) and US Dollar to Canadian Dollar (USD/CAD) exchange rates have been trending lower as investors predict a delay in the US Federal Reserve’s rate hike timeframe.

Pound Sterling to Canadian Dollar (GBP/CAD) Exchange Rate Forecast

The Pound Sterling to Canadian Dollar (GBP/CAD) exchange rate is forecast to experience some moderate movement later in Friday’s North American trading with the release of Canada’s RBC Manufacturing Purchasing Managers Index.

Thursday saw the price of oil record a fresh 2015 high, registering the biggest monthly gain since 2009. Crude oil is Canada’s largest export and therefore any developments in black gold value can seriously impact the Canadian Dollar to Euro (CAD/EUR), Canadian Dollar to Pound Sterling (CAD/GBP) and Canadian Dollar to US Dollar (CAD/USD) exchange rates.

However, the Canadian Dollar (CAD) was unable to gain on Thursday despite upbeat Bank of Canada (BOC) comments as the Organisation of the Petroleum Exporting Countries (OPEC) announced that April has seen the highest jump in output in over two years in April.

Industry expert Stephen Schork commented: ‘It’s no coincidence that the rally in [crude-oil prices] coincides with a massive selloff, a very large selloff, in the [US] Dollar. We are in the midst of the unravelling of two very overcrowded trades.’

The Pound Sterling to Canadian Dollar (GBP/CAD) exchange rate is trading at 1.8499. The Pound Sterling to US Dollar (GBP/USD) Exchange Rate (GBP/USD) exchange rate is trending in the region of 1.5298; the Pound Sterling to Euro (GBP/EUR) exchange rate is trading at 1.3590.