The Pound Sterling GBP) has fallen by -0.4% against the Swiss Franc (GBP/CHF) today, having done so on the news that the Royal Institute of Chartered Surveyors (RICS) House Price Balance for December has risen from 49% to 50%.
Cameron Expected to Call for UK Business Opposition of UK-EU Exit Today
The UK Referendum has clearly heated up in recent weeks and today is likely to be no expectation. Current expectations are that Prime Minister David Cameron will use his speaking time at Davos today to urge UK businesses to back the ‘In’ campaign, due to the high levels of uncertainty regarding standard practice in a post-EU UK.
Earlier…
The Pound Sterling (GBP) has levelled out against the Swiss Franc (GBP/CHF) today, although the ‘Swissie’ (CHF) has made few declines and instead risen by 0.9% against the Australian Dollar (CHF/AUD).
Davos Forum Brings Blend of Optimism and Caution from Speakers and Economists
In addition to a study by the IMF reporting that Europe as a whole could gain from the recent influx of refugees and migrants with the creation of large numbers of employed, the Pound Sterling (GBP) has been dealt yet another blow by a speech directed towards interest rates.
Peterson Institute Director and former Bank of England (BoE) policymaker Adam Posen has stated that ‘I am not sure the Federal Reserve did the right thing by raising rates last month…if the BoE or the European Central Bank (ECB) raised rates, that would be a big mistake’.
Earlier…
The Pound Sterling (GBP) has fallen by -0.2% against the Swiss Franc (GBP/CHF) today, although elsewhere the Pound appears to have finally recovered from yesterday’s mass softening brought about by Mark Carney’s dovishness.
Swiss Franc (CHF) Stable against Rivals in spite of Earlier Negative Result
Given that no direct positive data has come out for the Swiss Franc (CHF) today, the ‘Swissie’ staying above water can be attributed to the fact that the price of gold per 100 ounces has risen further to $1097.4.
Elsewhere, Switzerland’s ZEW Survey of Expectations in January has crashed to a pessimistic -3 points.
Earlier…
The Pound Sterling (GBP) has fallen by -0.7% against the Swiss Franc (GBP/CHF) today, with the probable cause being the recent rise in the price of gold per 100 ounces from under $1090 to $1096 today.
UK Data Set due Imminently, Swiss Survey Outcome Scheduled for Release Shortly Afterwards
Pound Sterling (GBP) is set to be moved first in the near future, with the UK’s Earnings, Claims and Unemployment figures for November and December set to come out shortly. Following on from these will be the Swiss ZEW Survey of Expectations in January, although no forecasts have currently been made for the outcome.
Earlier…
The Pound Sterling to Swiss Franc (GBP/CHF) exchange rate has risen marginally today, although on the whole the Pound (GBP) has lost its earlier gains.
GBP/CHF Exchange Rate News: ‘Powerful Forces’ Prevent UK Rate Hike for Now, Says Carney
Even the remotest expectations for a UK interest rate hike in the near future have been shot down today, following a blunt speech from Bank of England (BoE) Governor Mark Carney. Delivering his first economic outlook of 2016, Carney simply stated that: ‘in my view, the decision proved straightforward – now is not the time to raise interest rates’.
Carney identified a number of preventative factors that had led to this decision, such as China hitting a 25-year low for growth, the chaotic price of oil and a weak level of growth for UK earnings. In a dubious distinction, this marks the second time in as many weeks that Carney’s actions have put a dampener on Sterling’s potential.
Pound Sterling (GBP) has still held onto a number of advances even after the news, seeing a fractional gain against the Swiss Franc (GBP/CHF), 0.3% against the Euro (GBP/EUR), 0.4% against the Egyptian Pound (GBP/EGP) and 0.6% against the Japanese Yen (GBP/JPY).
Swiss Franc (CHF) Soft Today as Price of Gold Remains Unsupportive
The Swiss Franc (CHF) has failed to make headway today, having fallen by -0.9% against the Australian Dollar (CHF/AUD). Movement against other rivals has been limited.. However, a minor gain of 0.3% against the Euro (CHF/EUR) has also been seen.
The nation’s Producer and Import Prices for December were released earlier, both of which either fell into or remained in negative ranges. Elsewhere, the price of gold per 100 ounces has remained unstable, having dipped downwards today to $1085.4.
GBP/CHF Exchange Rate Forecast: High Impact UK Employment Data due Tomorrow along with Swiss Survey
Tomorrow morning is set to bring high-impact economic releases for both Pound Sterling (GBP) and the Swiss Franc (CHF), although the relevant UK releases are set to be published just before Switzerland’s.
The UK range of releases will include the nation’s Earnings, Claims and Unemployment results for November and December; at the time of writing, forecasts were for a slight reduction in wage growth, no overall change from the current 2.3% Claimant Count Rate and a rise in the Employment Change of 235k persons. Despite this, however, current forecasts are for the ILO Unemployment Rate for the three months to the end of November to remain at 5.2%.
Switzerland will, by contrast, only have one economic publication out tomorrow, which will be the ZEW Survey of Expectations in January. No forecasts have been made, but the previous entry was a figure of 16.6 points.
Current GBP, CHF Exchange Rates
The Pound Sterling to Swiss Franc (GBP/CHF) exchange rate was trending in the region of 1.4325 and the Swiss Franc to Pound Sterling (CHF/GBP) exchange rate was trending in the region of 0.6987 today.
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