The Pound has strengthened to session highs against the US Dollar and is edging closer towards the key 1.60 mark after being buoyed by better than expected jobs data and as the Bank of England raised its growth forecasts for the UK.
Unemployment in the UK fell for a 12th consecutive month in October taking the overall jobless rate down to 7.6%, adding to signs that the UK economic recovery is gathering speed. The 7.6% rate is the lowest since 2009. As well as the jobless rate falling data showed that the number of people claiming unemployment benefits also fell more than expected.
According to the Office for National Statistics the number of claimants fell 41,700 last month, more than the expected drop of 30,000 by economists.
Sterling was also bolstered by the Bank of England as it increased its growth forecasts and raised the chance for unemployment to reach its target of 7% in 2015 instead of the previous expectation for 2016. Investors raised their bets that the Central Bank will introduce an interest rate hike within the next two years in response.
US data weighed upon the ‘Greenback’ sending it lower against many of its most traded peers. According to the Mortgage Bankers Association, the number of mortgage applications in the US fell by 1.8% on a yearly basis. On a weekly basis the number of applicants fell by 0.5%.
The Canadian Dollar meanwhile edged higher from a two-month low against its US relation after the nation’s finance minister revealed yesterday that he expects Canada to achieve a bigger than expected budget surplus in 2015.
The Canadian government is expected to record a surplus of around $3.7 billion in 2015.
The revelation caused investors to increase bets that the surplus would soften the currency’s decline against the ‘Greenback’ when the Federal Reserve eventually announces a reduction in its monetary easing programme.
US Dollar (USD) Current Exchange Rates
The US Dollar/Pound Sterling Exchange Rate is currently in the region of: 0.6281
The US Dollar/Euro Exchange Rate is currently in the region of: 0.7446
The US Dollar/ Canadian Dollar Exchange Rate is currently in the region of: 1.0481
The Pound Sterling/US Dollar Exchange Rate is currently in the region of: 1.5986
The Euro/ US Dollar Exchange Rate is currently in the region of: 1.3445
Current Canadian Dollar (CAD) Exchange Rates:
The Canadian Dollar/US Dollar Exchange Rate is currently in the region of: 0.9541
The Canadian Dollar /Euro Exchange Rate is currently in the region of: 0.7104
The Canadian Dollar/Pound Sterling Exchange Rate is currently in the region of: 0.5992
The Pound Sterling/Canadian Dollar Exchange Rate is currently in the region of: 1.6686
The US Dollar/ Canadian Dollar Exchange Rate is currently in the region of: 1.0481
The Euro/Canadian Dollar Exchange Rate is currently in the region of: 1.4038
(Correct as of 14:30 pm GMT)
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