Sterling’s appeal has been notably damaged of late, thanks to low confidence in governmental intervention
In Swiss Franc news, the currency has slipped somewhat on account of the price of gold falling to $1213.8 per 100 ounces.
However, the Pound has fared far worse, having dived on the disintegrating state of the national production of steel.
Latest Pound/Swiss Franc Exchange Rates
The British Pound has slipped against its foreign exchange rate rivals, including the Swiss Franc (CHF), noticeably today.
While Nationwide House Prices showed that the UK’s housing market remains in a decidedly hot state, printing at 5.7% rather than 5.1%, this has not been enough to rally the British Pound.
As Switzerland’s March Manufacturing PMI offered a greater impression of strength within the domestic economy than anticipated the Swiss Franc has continued its bullish run on Friday.
This has been brought on by the news that a quick resolution to the Port Talbot steel works selloff (or lack thereof) is not likely to occur.
The GBP/CHF exchange rate has continued to shed ground after confirmation that Business Secretary Sajid Javid will not be back on the job until Friday.
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With the government meanwhile refusing to recall Parliament in order to debate the issue it seems as if the UK steel industry will remain in doubt for the near future.
Recently, the Pound Sterling has been on a definite downtrend, owing to uncertainty rising over the future fate of the national steel industry.
This has been compounded by the influx of slowing growth in China, which has led to companies shipping out their stockpiles of relatively cheap steel onto the world market.
Owing to the outright over-competitiveness of this practice, UK mills like the one located in Port Talbot have become increasingly unprofitable, with some plants losing up to £1m each day.
Pound to Franc Rate Uncertain after Morning’s Carney Contribution
The Pound has been left rudderless today by contrasting events in both positive and negative fields. Sterling has been improved by recent rising GDP stats, but unsettled by the ongoing steel crisis, among other things.
Chief among these has been a speech from Bank of England (BoE) Governor Mark Carney, who has stated in Tokyo that monetary policy can only go so far towards correcting errant economies.
Elsewhere, earlier data from Lloyds and Gfk has had a mixed effect. The former company’s March business barometer has risen from 28 to 43, but the latter’s consumer confidence survey has remained on the edge of negativity at 0 points.
Swiss Franc Trends Narrowly Today on Impending SNB Speeches
The Swiss Franc has not exactly been rallying recently, owing to the fluctuating price of gold and the uncertainty currently induced by a lack of domestic data.
Recently, the Franc has been affected by yesterday morning’s UBS consumption indicator for February, which rose from 1.45 to 1.53. This was counteracted slightly by data that was announced later in the day.
This was the KOF leading indicators report for March, which fell fractionally from 102.6 points to 102.25.
UK House Price Stats and Manufacturing Results due Tomorrow
The Pound may be affected before the end of the week by a pair of UK economic announcements, both of which are due tomorrow morning.
Firstly, the Nationwide house prices result for March on the month and the year will be announced; these were expected to rise in both fields at the time of writing.
Shortly afterward, the manufacturing PMI for March will be announced. This is expected to rise from 50.8 to 51.2.
Swiss Bank Speeches due This Afternoon, Sales Data Out Tomorrow
For Switzerland, input will be had in the near future by a pair of speeches from Swiss National Bank officials Andrea Maechler and Thomas Moser.
Following on from this tomorrow morning will be the retail sales results for February, which were expected to rise on the month and the year at the time of writing.
In addition to these direct events, the Franc could also be shifted by the currently volatile global price of gold.
FX markets see the pound vs pound exchange rate converting at 1.
At time of writing the pound to euro exchange rate is quoted at 1.171.
At time of writing the pound to us dollar exchange rate is quoted at 1.244.