User Name: Password:      Register - Lost password?

Forex News Blog
Back to The Headlines
Thursday November 30, 2006 - 11:09:24 GMT
Reuters -

Share This Story:
| | Email

Sterling hits 14-yr high vs ailing dlr, $2 beckons

Sterling hits 14-yr high vs ailing dlr, $2 beckons
Thu Nov 30, 2006 5:59am ET15

(Changes dateline, adds quotes, updates prices)

By Veronica Brown

LONDON, Nov 30 (Reuters) - Sterling shot up to a 14-year peak against a broadly weakening dollar on Thursday, its highest since Britain was forced to abandon Europe's precursor to the euro, prompting traders to eye the psychological $2 mark.

The pound has been one of the best performers against the fragile dollar this year, with gains fuelled by inflation-busting Bank of England rate hikes, inflows from mergers and acquisitions and central bank reserve purchases.

It was last this strong against the greenback in September 1992, a time etched firmly in the currency's history, when the UK was forced to abandon the European Exchange Rate Mechanism, the forerunner to the euro.

Data from the Nationwide Building Society on Thursday showing a 1.4 percent jump in British house prices this month proved to be the final catalyst to take the pound back up to those peaks.

"The break to the upside was very much expected -- today's data has certainly supported sterling, along with continued foreign direct investment inflow, plus we are talking generally about U.S. dollar weakness," said Hans-Guenter Redeker, chief currency strategist at BNP Paribas.

Sterling hit a 14-year peak of $1.9580 before retreating to $1.9556, up half a percent on the day by 1030 GMT.

It hit a 2-1/2 year high on the Bank of England's trade-weighted index at 104 <=GBP> and an eight-year high against the yen at 227.49 .

t was broadly steady against the euro at 67.46 pence .

Bank of England governor Mervyn King kept alive the prospect of UK interest rates moving above the current 5.00 percent on Thursday, saying inflation had picked up and been above the bank's 2 percent target.

After trying and failing twice in the early 1990s to move beyond $2, some analysts say sterling could make the move in a slightly more sustainable way.

Back in 1992 sterling tumbled 25 percent in just three months after investors successfully speculated against the pound.

Traders and analysts said sterling's further upside progress would depend on the euro making fresh peaks against a broadly weaker dollar.

The dollar's interest rate advantage over the euro should narrow next week if the European Central Bank tightens monetary policy further, as is widely expected.

"I certainly have pencilled that ($2) in, by the end of the year we're going to have an attempt. If you look at the way sterling does move when you are trending, it can cover quite a lot of ground," said Simon Derrick, head of currency research at Bank of New York.

Others were more sceptical.

"If euro/dollar can break through the record highs without too much political objection, then I think you might see $2 in cable (sterling/dollar), but my suspicion is we won't get through $1.3660 on euro/dollar and that will probably prevent cable going through $2 as well," said Steven Pearson, chief currency strategist at HBOS.

For the year, sterling is now up nearly 14 percent against the dollar, poised for its best yearly performance since 1990.

(Additional reporting by Sylvia Westall in London)

© Reuters 2006. All Rights Reserved.


Forex Trading News

Forex Research

Daily Forex Market News
Forex news reports can be found on the forex research headlines page below. Here you will find real-time forex market news reports provided by respected contributors of currency trading information. Daily forex market news, weekly forex research and monthly forex news features can be found here.

Forex News
Real-time forex market news reports and features providing other currency trading information can be accessed by clicking on any of the headlines below. At the top of the forex blog page you will find the latest forex trading information. Scroll down the page if you are looking for less recent currency trading information. Scroll to the bottom of fx blog headlines and click on the link for past reports on forex. Currency world news reports from previous years can be found on the left sidebar under "FX Archives."

Actionable trading levels delivered to YOUR charts in real-time.

Register To Test Your Amazing Trader

GVI Trading. Potential Price Risk Scale
AA: Major, A: High, B: Medium

Tue 31 July 2018
AA JP- Bank of Japan
A 06:00 DE- Retail Sales
A 09:00 EZ- flash HICP/GDP
AA 12:30 US- Core PCE Deflator
A 14:00 US- CB Consumer Confidence
Wed 1 Aug 2018
A Final Mfg PMIs
AA 12:15 US- ADP Private Payrolls
A 15:00 US- EIA Crude
AA 18:00 US- Federal Reserve Decision
Thu 2 Aug 2018
AA 11:00 GB- Bank of England Decision
A 13:30 US- Weekly Jobless
Fri 3 Aug 2018
A Final Services PMIs
AA 12:30 US- Employment
A 12:30 US/CA- Trade

John M. Bland, MBA
co-founding Partner,

Global-View Affiliate Program

We are starting an affiliate program to market some of our products.

Send me an email if you would be interested or if you know someone who would like to be an affiliate. Generous commissions payout for those accepted.

Put the word "affiliate" in the email subject line.

Contact us

Start trading with forex broker Markets Cube

Max McKegg's Daily Forex Trading Forecasts

Veteran FX Trader, Max McKegg, forecasts all the Major currencies and the Australasians; providing Daily and Medium Term Trading forecasts to subscribers, who include large Banks the world over, as well as individual traders in more than 30 different countries.

Request a TRIAL of Max's Forex Service.


Retail Forex Brokerage Changing!

Are you looking for your first broker or do you need of a new one? There are more critical things to consider than you might have thought.

We were trading long before there were online brokers. Global-View has been directly involved with the industry since its infancy. We've seen everything and are up-to-data with recent regulatory changes.

Our Best Brokers listing section includes:Forex Broker Reviews, Forex Broker Directory, Forex Broker Comparisons and advice on How to Choose a Forex Broker

If would like guidance, advice, or have any concerns at all ASK US. We are here to help you.

SEE Our Best Brokers List

Currency Trading Tools

  • Live rates, currency news, fx charts. 

  • Research reports and currency forecasts.

  • Foreign Exchange database and history.

  • Weekly economic calendar.

Directory of  Forex trading tools

Terms of Use    Disclaimer    Privacy Policy    Contact    Site Map

Forex Forum
Forex Trading Forum
Forex Forum + forex rates
Forex Forum Archives
Forex Forum RSS
Free Registration

Trading Forums
Currency Forum Guide
Forum Directory
Open Forum
Futures Forum
Political Forum
Forex Brokers
Compare Forex Brokers
Forex Broker News
Forex Broker Hotline

Online Forex Trading
Forex Trading Tools
Currency Trading Tools
Forex Database
FX Chart Points
Risk/Carry Trade Chart Points
Economic Calendar
Quicklinks to Economic Data
Currency Futures Swaps
Fibonacci Calculator
Currency Futures Calculator

Forex Education
Forex Learning Center
FX Trading Basics Course
Forex Trading Course
Forex Trading Handbook

Forex Analysis
Forex Forecasts
Interest Rate Forecasts
Central Bank Forecasts

FX Charts and Quotes
Live FX Rates
Live Global Market Quotes
Live Forex Charts
US Dollar Index Chart
Global Chart Gallery
Daily Market Tracker
Forex News
Forex Blog
Forex News
Forex Blog Archives
Forex News RSS
Forex Services
Forex Products
GVI Forex
Free Trials
FX Bookstore
FX Jobs and Careers
Jobs USA
Jobs UK
Jobs Canada

Forex Forum

The Global-View Forex Forum is the hub for currency trading on the web. Founded in 1996, it was the original forex forum and is still the place where forex traders around the globe come 24/7 looking for currency trading ideas, breaking forex news, fx trading rumors, fx flows and more. This is where you can find a full suite of forex trading tools, including a complete fx database, forex chart points, live currency rates, and live fx charts. In addition, there is a forex brokers directory where you can compare forex brokers. There is also a forex brokers hotline where you can ask for help choosing a forex broker that meets your individual fx trading needs. Interact on the same venue to discuss forex trading.

Forex News

The forex forum is where traders come to discuss the forex market. It is one of the few places where forex traders of all levels of experience, from novice to professionals, interact on the same venue to discuss forex trading. There is also the GVI Forex, which is a private subscription service where professional and experienced currency traders meet in a private forex forum. it is like a virtual forex trading room. This is open to forex traders of all levels of experience to view but only experienced currency tradingprofessionals can post.

Currency Trading

Currency trading charts are updated daily using the forex trading ranges posted in the Global-View forex database. You will also find technical indicators on the fx trading charts, e.g. moving averages for currencies such as the EURUSD. This is another forex trading tool provided by

Forex Brokers

The forex database can be used to access high, low, close daily forex ranges for key currency pairs, such as the EURUSD, USDJPY, USDCHF, GBPUSD, USDCAD, AUD, NZD and major crosses, including EURJPY, EURGBP, EURCHF, GBPJPY, GBPCHF and CHFJPY. Data for these currency trading pairs dating back to January 1, 1999 can be downloaded to an Excel spreadsheet.

Forex Trading

Forex chart points are in a currency trading table that includes; latest fx tradinghigh-low-close range, Bollinger Bands, Fibonacci retracement levels, daily forex pivot points support and resistance levels, average daily forex range, MACD for the different currency trading pairs. You can look on the forex forum for updates when one of the fx trading tools is updated.

FX Trading

Global-View also offers a full fx trading chart gallery that includes fx pairs, such as the EURUSD, commodities, stocks and bonds. In a fx trading world where markets are integrated, the chart gallery is a valuable trading tool. Look for updates on the Forex Forum when the chart gallery is updated.

Forex Blog also offers a forex blog, where articles of interest for currency trading are posted throughout the day. The forex blog articles come from outside sources, including forex brokers research as well as from the professionals at This forex blog includes the Daily Forex View, Market Chatter and technical forex blog updates. In additional to its real time forex forum, there are also Member Forums available for more in depth forex trading discussions.



By using this website, you are agreeing to our Privacy Policy and Terms of Use, and Cookie Policy

Copyright ©1996-2014 Global-View. All Rights Reserved.
Hosting and Development by Blue 105