U.S. vs The BRICs: Foreign exchange rates as of 9:29 am EDT. I still expect GBP/USD above 1.16913 …

My morning take on GBP/USD

The Jobs Situation Report will be released by the U.S. Bureau of Labor Statistics at 8:30 am on Friday. A “positive” report, in my opinion, will see labor demonstrating more wage leverage, spooking the markets into believing that inflation expectations should remained heightened. If interest rates compensate for inflation expectations, demand for US dollars or dollar-denominated securities may increase. To account for the opportunity costs of buying the British pound, the price of the GBP/USD may fall as the USD strengthens.

That said, I still expect that GBP/USD will exceed 1.16913 on Friday. As of 9:08 am, OANDA data has the currency pair trading at 1.16886.

U.S. versus the BRICs (Brazil, Russia, India, China, Venezuela, Saudi Arabia)

Currency Pair Broker Bid Broker Ask

USD/INR 79.5674 79.7024

RUB/INR 1.3025 1.3063

CNH/INR 11.4985 11.5205

USD/BRL 5.0587 5.0627

RUB/BRL 0.0828 0.0830

CNH/BRL 0.7311 0.7318

USD/VEF 781,544.0000 784,541.0000

RUB/VEF 12,794.1000 12,858.5000

CNH/VEF 112,944.0000 113,400.0000

USD/SAR 3.7452 3.7552

RUB/SAR 0.0613 0.0616

CNH/SAR 0.5412 0.5428

Source: OANDA

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