Currency Market Analysis by Adrian Schmidt of Royal Bank of Scotland.

Disclaimer


... more

The British pound has fallen to a new record low against the euro after the National Institute of Economic and Social Research indicated that the rate of output decline was "accelerating", and the institute now expects a fall of more than 1% in the last three months of the year.

At one point, sterling declined to under 1.14 euros. It also touched a new low against a basket of currencies.

Interest rates have been cut both in the UK and in the eurozone, but they remain higher in the 15-member euro currency area.

The pound was also hit by new data suggesting the UK economy had shrunk by 1% in the three months to November.

The pound stood at $1.4776 and at 1.1425€ this evening.

... more

Russia depreciates ruble for fourth time in a month as price of oil declines.

A look at prospects for sterling.

Analysis by Mitul Kotecha from Calyon.

... more

From Bloomberg, a quick look at oil prices, currency, stocks  then an interview and analysis by Sharada Selvanathan of BNP Paribas.

... more

The British pound has fallen to a historic low against the euro in the run-up to the Bank of England's one percentage point cut in interest rates.

The pound dropped to 1.1499 euros, the lowest level since the creation of the eurozone currency in 1999.

The UK currency also fell against the dollar to $1.4466, the lowest level in almost seven years.

The Bank of England slashed UK interest rates to 2% on Thursday, the lowest level since 1951.
... more