Corporate foreign exchange news

Currency could be impacted by decline in output

Wednesday, 10 August 2011 09:06:21 GMT

Posted by Zeb Bham
UK manufacturing output fell in June, figures show, in news that could impact foreign exchange dealers.
According to the Office for National Statistics, a decline of 0.4 per cent was seen during the month, surprising some analysts who had been anticipating an increase.
Meanwhile, the nation's trade deficit for goods and services was £4.5 billion, in comparison to £4 billion seen the previous month.
Commenting on the findings, chief economist at the British Chambers of Commerce David Kern said: "While the government perseveres with implementing its tough fiscal programme, everything must be done to support the manufacturing recovery and ensure there are no setbacks."
He added the declines were "worse than expected" and "disappointing".
The UK riots may also have an impact on foreign currency trading as currency strategist at Bank of New York Mellon Neil Mellor told Reuters that sterling is no longer being viewed as a "safe haven" currency for investors.
For more information on foreign exchange treasury services and risk management, visit our Corporate FX site ADNFCR-2522-ID-800694915-ADNFCR
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