The Pound is little moved against the Euro as investors await the release of economic data out of the Eurozone and UK. Sterling gave up some of Monday’s gains after the latest Construction PMI data showed that building activity in the UK slowed in October. The dip in the PMI however was not enough to spur selling of the currency. If the Services PMI report comes in positively the Pound is likely to resume its upward trend against the Euro and other peers.

US Dollar

The US Dollar strengthened broadly against the Pound and other major peers after the Republican Party won control of the US senate in the mid-term elections. The victory-buoyed support for the US Dollar as it now means an ending of the stalemate which has negatively affected decisions regarding the course of the world’s largest economy. With the Republicans now in charge of both the Senate and House of Representatives, the standoffs with the Democrats – which led to the fiscal cliff incident in 2013 – should be a thing of the past… at least until the next Presidential elections.

The Euro

The Euro fell on renewed strength for the US Dollar following the outcome of Midterm elections. The European Commission’s decision to downgrade its forecasts for growth and inflation in the Eurozone also continued to weigh on the single currency. Investors will be looking to see whether the session’s Markit Services PMI and Eurozone Retail sales data comes in positively.

Australian Dollar

The ‘Aussie’ softened against the US Dollar and other rivals as the US Dollar strengthened on the back of the Republican Party’s victory in the mid-term elections. The currency was also weakened after Chinese data showed that activity in the nation’s services and manufacturing sectors slowed more than forecast in October.

New Zealand Dollar

The New Zealand Dollar slid against the strengthened US Dollar and other major peers as sentiment towards the US currency diverted attention from the ‘Kiwi’. Despite softening, the currency did find support from the release of data which showed that unemployment in the country fell more than forecast in the third quarter. Soft data out of China, however, cancelled out any gains the jobs data may have offered.

Canadian Dollar

The ‘Loonie’ tumbled to its lowest level in five years as the selloff of crude oil, the nation’s largest export, deepened after Saudi Arabia cut the prices of its oil exports to the US. Against its US relation, the ‘Loonie’ recorded its longest decline since January.

South African Rand

The Rand weakened against its most traded peers on the back of the strengthened US Dollar and continuing concerns over the strength of the Eurozone and Chinese economies. The disappointing Chinese PMI data was the main driver for the losses experienced by the commodity-focused Rand.

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