Exchange Rate Forecasts

GBP/EUR close to fresh multi-month highs, but significant resistance blocks the way.

Bank of America has just released a call to buy the Pound-Dollar exchange rate (GBP/USD), citing the UK's Spring Budget announcement.

Selling the Euro against Pound Sterling still makes sense following Thursday's European Central Bank (ECB) policy update, according to strategists at MUFG Bank.

ING has analysed different scenarios ahead of this week's European Central Bank (ECB) announcement, assessing potential implications for the Euro to Dollar exchange rate (EUR/USD).

The Dollar is overshooting relative to fundamentals meaningfully, says Bank of America, warning that the overshoot is particularly acute against the Japanese Yen.

An analyst at Société Générale says the Euro to Pound exchange rate's daily chart hints at a major reversal playing out.

What a difference a week can make: when we published our previous week ahead forecast last Monday, the Pound to New Zealand Dollar setup was distinctly bearish.

GBP/AUD is firm at the start of week packed with Australian data releases and the UK's midweek budget.

GBPCAD looks constructive heading into this week's UK budget and Bank of Canada policy decision.

The Euro to Dollar exchange rate is relatively well supported as it approaches Thursday's European Central Bank decision and a pivotal U.S. jobs report on Friday.

Pound Sterling has held up better against the dollar than most in 2024, but this resilience will be tested on Friday when a crucial U.S. jobs report is released.

GBP/EUR could extend a recent weak patch into the first part of March, particularly if the UK budget is not well received midweek and the European Central Bank strikes a hawkish tone on Thursday.

The Dollar may surge if the market realises that the Federal Reserve won't cut interest rates in 2024, as now anticipated by a major American money manager.

The Euro will fall against the Dollar as the European Central Bank (ECB) engages a faster and deeper interest rate cutting cycle to plug a yawning output gap in the Eurozone, according to Morgan Stanley.

Pound Sterling edged lower against the Euro through the latter part of February, but we see ongoing resilience in March.

Citibank says the prospect of a market intervention by Japanese authorities is increasingly likely following the 2024 depreciation in the Yen.

GBP/CAD is underpinned by constructive technical conditions and we doubt Thursday's Canadian GDP release will dent the pair's short-term upward progress.

GBP/AUD can move higher over the coming days thanks to a broadly constructive technical setup, however, any surprises in this week's Aussie inflation figures would invalidate this view.

"This week has a definite make-or-break feel about it as we head into the RBNZ MPS," says David Croy, a strategist at ANZ Bank, regarding the key event facing the New Zealand Dollar.

Pound Sterling is favoured over the Dollar this week thanks to an improved technical setup, a well-understood Fed rate cut repricing story and month-end flows.