Expat Forum For People Moving Overseas And Living Abroad banner
1 - 1 of 1 Posts

·
Banned
Joined
·
534 Posts
Discussion Starter · #1 ·
Hi All,

As promised here’s a brief update on what’s been happening with the US Dollar over the last week.

The pace of declines in Non-farm Payrolls (-190K) continued to slow in October but overall Unemployment climbed to a 26½ year high of 10.2% and far worse than market expectations (9.9%). A wider gauge of labour market slack that includes unemployed citizens who have given up even looking for work, hit an all-time record high of 17.5%. Not surprisingly amid current job uncertainty, Consumer Credit (-14.8b) data showed that households continued to repay personal debt in September and pushed down total consumer credit for an eighth straight month, which is the longest streak since 1943.

The ISM Manufacturing PMI (55.7) beat market expectations and recorded its 3rd straight monthly reading above the expansionary 50 level and the highest since April 2006. However, the more significant Nonmanufacturing PMI (services) in terms of GDP (Gross Domestic Product) contribution and employment took a step backwards to 50.6 from 50.9.

The Fed kept rates on hold as expected and took the step of clearly defining the three areas of economic data that will determine the near-term path of monetary policy; the guideposts defined were resource utilisation, inflation trends and inflation expectations. Finally, Fed official Greenlea gave a gloomy assessment of the state of US financial institutions in testimony to a House of Representatives committee; he expressed concerns that banks face capital adequacy problems over loan loss provisions associated with commercial and residential property, and that credit markets were far from fully healed.

GBP/USD Movement – High’s & Low’s of last week (02/11/09 – 06/11/09)

High’s: 1.6638
Low’s: 1.6262

A movement of: 2.31%.

Difference on £200k

High: $332,760
Low: $325,240

Difference of: $7,520

Whilst FX isn't the most thrilling of subjects, the sooner you begin to think about your money transfers, the more likely you are to make your money go further.

A further update will be added next week.

Regards



Jon Sermon
HiFX
 
1 - 1 of 1 Posts
Top