Sterling exchange rates have had a solid week… Elections and Non Farm Payroll data the talk of the day today
The Pound has once again had an encouraging week against most of the majors as confidence in Sterling is still fairly high – Even with a technical recession hanging over our heads investors seem to be able to see past that and in my opinion the U.K is being seen as “The best of a bad bunch” hence the minor confidence and strength in the Pound.
French elections will weigh heavilly on the Euro over the weekend, and the pending results may lead to an extremely volatile start to the week for those buying or selling Euros. Many of my clients I speak to in France believe that there looks to now be only one winner, and his relationship with Angela Merkel is about as solid as North and South Korea, so if he is elected expect fireworks for the European Debt crisis in the coming months.
Today is fairly important for those with a Dollar interest and indeed interest in the ‘riskier’ currencies such as the Australian Dollar, New Zealand Dollar and South African Rand. Non Farm Payroll data is essentially the number of people in Non agricultural employment over in the States and is a key indication as to how their economy is performing.
The reason it is Non agricultural is because these jobs may be seasonal and do not give a fair representation of the employment figures. The reason it can cause quite a lot of volatility is because predictions are made in advance and these can be wildly out… As many of our regular readers will know the markets move onb rumour as well as fact, and should the figure come out quite a way from predictions the market does correct itself rather swiftly.
The reason this effects the AUD, NZD and ZAR and pretty much most majors is because as i’m sure you can imagine it will effect attitude to risk and will lead to rapid movements of large amounts of money globally in what generally presents a volatile end to the week.
If you have a currency transfer to carry out either now or in the coming months and you would like me to personally assist you and get you a better rate than your bank or current broker then email me directly firstname.lastname@example.org – I now receive 30,000 unique visitors per month to this site and if you are finding it useful and of interest then why not get in touch and see how else I can help?
I look forward to speaking with you soon, and for those in the U.K enjoy your Bank Holiday weekend