BUY, SELL CURRENCY EUROS DOLLARS BEST RATES

IMS FX MORNING REPORT for Tuesday 2nd November 2010

Today's Interbank rates -

POUNDS TO US DOLLARS 1.5976
POUNDS TO EUROS 1.1442
POUNDS TO AUSTRALIAN DOLLARS 1.6007

EUROS TO US DOLLARS 1.3958
EUROS TO POUNDS 0.8736
EUROS TO AUSTRALIAN DOLLARS 1.3985

POUND HEADLINES:

• Following positive UK manufacturing data yesterday the
  pound moved back through 1.15. The manufacturing figures helped the pound
  reach its highest level in nine months against the dollar on speculation
  that the central bank will refrain from joining the Fed in renewing stimulus
  measures.
• The rate of growth in UK manufacturing output rose in
  October for the first time since March. The Chartered Institute of
  Purchasing & Supply said its Purchasing Managers Index rose to 54.9 from
  Septembers 10 month low of 53.5. With a figure of 50 or above indicating
  growth, it is a sign of renewed strength in the manufacturing sector.
• UK PMI construction data for October has come in at 51.6
  missing expectations of 53.0. These figures have had a negative effect on
  the pound and is now losing ground against both the euro and dollar this
  morning

EURO HEADLINES:

• Eurozone PMI manufacturing for October comes in at 54.6
  beating expectations of 54.1. Also French PMI manufacturing for October
  comes in as expected at 55.2
• Italian & German PMI manufacturing for October both come
  back better than expected
• The raft of stronger PMIs has helped push the euro up
  against most other majors. The weaker than expected UK construction data has
  also helped the euro strengthen against the pound.

US DOLLAR HEADLINES:

• The US dollar found support after a report showed the US
  manufacturing sector expanded in October as measures of production and
  orders placed with factories rose to a five month high.
• The US economy is showing signs of rebalancing away from
  consumer spending towards manufacturing. Expansion of the US manufacturing
  sector sped up unexpectedly in October thanks to strong new orders and
  exports, and slow imports. But, growth in consumer spending slowed to a
  crawl in September, while personal income fell unexpectedly.
• Tomorrow we have FOMC rate decision. Markets are
  expecting additional QE measures to be put in place. Data this week will
  also focus on Fridays employment numbers.

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