As predicted Friday was a fairly quiet day. Without US markets most crosses traded within their most predefined ranges and continued to react to data from a fairly interesting Thursday.

Euro weakened further from Thursday’s highs against the dollar as the dovish tone from the ECB and a Non-Farm payrolls announcement that didn’t have people scrabbling for canned goods enabled the greenback to underpin its position. We believe that dollar will continue to weaken over the coming months however as poor data is expected to jeopardise chances of future rate hikes Stateside.

Today is a fairly quiet day however it does see the beginning of the latest round of G8 talks, this time in Japan. Analysts believe that there will be little impression on FX markets due to the main subject matter being climate change. We do however expect an announcement pertaining to the recent price surges seen over many different commodities; whether strong dollar policy is talked about again we will have to wait and see. We also have UK production figures from the manufacturing and industrial sectors with both forecast to show a slowing.

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 Please feel free to contact me (jeremy.cook@worldfirst.com) if you have any questions or thoughts regarding these updates or if you are interested in a particular event in the calendar. If you would like to discuss your foreign exchange requirements, please contact our:Corporate Foreign Exchange Team on 020 7801 9050 or our Private Client Currency Exchange Team on 020 7801 9080.   

Disclaimer: The above comments are only our views and should not be construed as advice. You should act using your own information and judgement. Although information has been obtained from and is based upon multiple sources the author believes to be reliable, we do not guarantee its accuracy and it may be incomplete or condensed. All opinions and estimates constitute the author’s own judgement as of the date of the briefing and are subject to change without notice.Any rates given are “interbank” i.e. for amounts of £5million and thus are not indicative of rates offered by World First for smaller amounts. E&OE. Definitions of jargon/market terms can be found in our Glossary of Foreign Exchange Terms.