The dollar benefitted from comments made by the European Central Bank (ECB) President Mario Draghi this afternoon as the GBP/USD cross moved away from $1.70. Mr Draghi spoke at the ECB monthly press conference and was rather dovish about what the next couple of months hold for the single currency.
For a free currency consultation click here.
The dollar is often seen as a safe-haven for investors and the news from the ECB today helped boost the greenbacks value. Mr Draghi hinted the central bank were ready to act with a broad-based asset purchase scheme which will be aimed at reducing the value of the single currency and that the central bank were prepared to act as quickly as June.
These comments, coupled with better than forecast unemployment numbers for the States meant the GBP/USD cross dipped from a high of $1.6995 to $1.6965, not a massive gain for the dollar but the first one we have seen for a few days.
So what could impact rates for the rest of the week?
Fed chair Janet Yellen is due to testify this evening which tends to cause some fluctuations in the dollars value as her comments are scrutinised for any hints on future monetary policy. Tomorrow is also a fairly busy day in terms of data releases, the UK release their latest trade balance and manufacturing production numbers, while the U.S announce their latest job openings and wholesale inventories.
If you need to buy or sell dollars in the coming weeks and want to ensure you are making the most from you transfer, use the link below to complete the contact form or call me directly on 0044 (0) 1442 892 065 for a free, no-obligation consultation.
Click here to complete the contact form.
