With little data released Sterling remained relatively flat throughout the days trading, as yesterdays news of inflation hitting a 5 year high has now been digested by the markets.
Many had hoped the inflation level hitting 3% would have prompted a surge in Sterling’s value, but with Bank of England (BoE) governor Mark Carney’s relatively dovish comments later in the day, hopes of an immediate interest rate hike appear to have dimmed.
Moving forward I think talk of interest rate hikes along with positive comments regarding Brexit negotiations would be highly likely to result in Sterling strength, although it will take some very good news to see Sterling recover to the levels seen last month against the likes of the US Dollar and the Euro amongst other major currencies.
In the morning at 9.30am there will be another economic data release in the form of Retail Sales data, although I personally don’t expect to see any major swings in GBP value based on the result.
Our currency brokerage offers a number of different contracts options for those with an upcoming currency requirement. For those planning on exchanging their Sterling into another currency at a higher rate of exchange than the current levels available, you can set up a target rate you wish to trade at with us. If you would like to discuss this option with me, feel free to get in contact.
Next week on Wednesday there is a planned inflation report hearing as well as GDP figures to be released in the morning. The GDP data is due out at 9.30am once again with expectations expected to be released soon. This aside from Public Sector Net Borrowing figures on Friday could be some of the busiest times for GBP exchange rates along being drivers of the currencies value in future.
If you would like to discuss an upcoming currency exchange you’re planning on making, feel free to get in contact with me. I can be reached on firstname.lastname@example.org and I’ll be happy to discuss the options available to you as well being able to access commercial level exchange rates.