UK unemployment has dropped again this morning helping sterling recover some of the ground it lost after yesterday’s weak inflation figure. However it is unlikely to affect the longer term interest rate forecasts with most analysts predicting it will happen in Summer 2015 rather than Spring. Sterling has had a bad couple of weeks but that is coming from a significant peak on the Euro, and a US Dollar that is finally beginning to find its feet as predicted a few months back.
We have US retail sales figures this afternoon which will have a big impact on the Dollar so Cable buyers should watch this closely. A speech by Mario Draghi tonight may also have a big impact on the Euro- it looks increasingly likely that the ECB have to embark on a much wider asset purchase program to combat very low inflation which could spark more Euro weakness. To this end anyone buying euro may want to hold on as sterling still has a chance to take advantage of this despite the negative trend of late.
If you need to make a currency transfer and want to get the best exchange rate, then feel free to email Colm at [email protected] and I would be happy to explain how our services work.