IMS FX Morning Report 24-09-2010

Good Morning,

IMS FX MORNING REPORT - Friday 24/09/2010

Interbank rates as follows -

POUNDS TO US DOLLARS 1.5691
POUNDS TO EUROS 1.1734
POUNDS TO AUSTRALIAN DOLLARS 1.6444

EUROS TO US DOLLARS 1.3372
EUROS TO POUNDS 0.8525
EUROS TO AUSTRALIAN DOLLARS 1.4019

POUND HEADLINES:

• Sterling has remained vulnerable after Bank of England minutes showed
  policy makers felt the case for more quantitative easing had strengthened
• Mortgage approvals fell by 7.2% to a 16 month low to 31,767 in August on
  weakened housing market down 22% from year prior
• Sterling gained some ground yesterday against the euro due to poor
  eurozone data briefly pushing back above 1.18 although this did not last and
  today remains under 1.1750

EURO HEADLINES:

• In the Eurozone a survey of purchasing managers showed that growth in
  both the manufacturing and services industry slowed in September enabling
  the pound to pull back from 4 month lows
• German IFO business climate tops expectations, comes in at 106.8 in
  September vs. 106.4 forecast
• Ireland reported that's its economy shrank by 1.2% in the second
  quarter. This falls considerably short of the 0.5% expected

US DOLLAR HEADLINES:

• US existing home sales rose 7.6% in August to 4.13 million rate. 7.1%
  increase was expected (second lowest level on record) also unemployment data
  was disappointing
• New home sales data from US this afternoon although may not have much
  impact on GBPUSD
• Pound continued to push higher against the dollar but flattened out at
  1.57 providing resistance. Now trading just below this level.

If you need to buy, sell or make an international payment today then please
call me for a free quote.

Kris Charalambides

FX Broker

kris@imsfx.co.uk

www.imsfx.co.uk

Tel: 0207 183 2790