Summary of Currency Markets for July 4th – July 8th 2011
Posted by Allison on 11 July 2011, 14:18
In the previous report we saw that the pound couldn’t put up a strong performance against any of the main currencies on the currency converter. But would this pattern change this time around, or have we got more bad news for you? Let’s find out now.
An overview of the currency markets for July 4th – July 8th 2011
The last time we saw the pound it was worth 1.6008 against the US dollar. There was good news initially as the pound climbed to 1.6096 after just two days of trading. But unfortunately that was where the good news ended. By the close of play that week the pound was on 1.5944 instead.
The pound had a bad time against the Euro last week as well, falling to 1.1049 in the process. So perhaps it was about time we had a better performance and indeed this was the case. After 48 hours we were up to 1.1130, but there was still further to go. We reached a high of 1.1209 on Thursday night before falling back to 1.1195 on Friday.
So where would we end up against the Hong Kong dollar? We were starting from 12.458 and the high point of the week would turn out to be 12.526. Unfortunately this was on Tuesday, and by the time the week was out we had fallen back to a lower rate of 12.407. This was disappointing to say the least.
The pound had managed to close out the previous week on a rate of 1.9394. But where would we go this time against the New Zealand dollar? The answer, unfortunately, was down – the best rate was 1.9431 and it was achieved on Tuesday. By the time the week was over we were claiming a lowly 1.9156.
We often see a similar pattern against the Australian dollar when it comes to the figures against the New Zealand version. The pound ended on 1.4942 last time so could we expect another fall here as well? Once again we peaked on Tuesday with a figure of 1.5055, before falling to the lowest point of the week on 1.4813 by Friday night. This was clearly not the most impressive week for the British pound.
Notable events in the world of currency
A marked drop for the pound against the Canadian currency
We saw falls elsewhere for the pound too last week. For example the pound fell from 1.5429 to 1.5276 against the Canadian dollar.
Another drop against the Chinese yuan
There was bad news here as well for the pound. From a starting rate of 10.349 we managed to slip back to 10.308 by the end of the week.
And more bad news against the Egyptian pound as well
The British pound had a rate of 9.558 against the Egyptian pound at the start of the week. But by the end it had slipped to 9.501.
While we have had to put up with a lot of bad news for the pound recently, it would seem that we are not the only country on the back foot with our currency. For example there have been reports about the Australian currency and its struggle to do well against the US dollar. This Bloomberg report points to the reasons behind its struggle, and also gave information about the status of the New Zealand dollar. Perhaps it is not just the British pound that has things to worry about.
So once again we have a situation where several currencies are having a hard time. The British pound will hopefully recover given time, but we do wonder how much time there will be before much better results are seen. We can only wait and watch and report back on the latest results as they become available. But we have seen that the pound is not alone in its woes, so we shall be watching more than just our own currency.