Daily Archives: November 25, 2011
The pound could be under pressure next week
Sterling exchange rates have been boosted this week against a range of currencies with some terrific gains. The best gains have been against the Southern hemisphere currencies with up to 7% rise against the South African Rand. The pound has spiked at 1.17 against the Euro today but it has not been all gains with a big loss against the USD with sterling now down at 1.5450.
Although there have been some positive movements please be aware that next week we have the Chancellor George Osborne giving his Autumn budget statement. We are expecting him to state that the UK faces an uphill battle in meeting its budget targets due to slow economic growth. This could really hamper the pound going forward next week especially as the office of budget responsibility is expected to cut its economic growth projections too. This is all worrying as it leads us to believe that the UK could be heading back into a recession next year like our trading partners in Europe.
If you require moving funds over the next week or so you may be wise to speak with me early next week to hopefully capitalise on the highs that we are currently seeing. Please email me at bma@currencies.co.uk so we can discuss your requirement and all the options that are available to you.
