Tag Archives: dollar
Pound strength following King Speech (Steve Eakins)
Today, which is probably the busiest day this week has already provided a few surprises. It was this morning confirmed that France has re-entered a recession creating euro weakness, UK Unemployment is improving and then currently the current Governor of the Bank of England, Mervyn King, in his last speech seems to be talking the value of the Pound up. In summary GBPEUR rates have now risen from the 2 week low at the beginning of the day towards a near 4 month high we last visited 4 weeks ago.
So what next for GBPEUR exchange rates?
Near future – EURO buyers may want to hold off till tomorrow when we have the last big data release for GBPEUR this week when the Eurozone confirms their Consumer Confidence figures for April. The expectation is for this data to show a contraction so rates may climb further for GBPEUR following this news which is released at 10 am BST. Euro sellers may want to move before hand as a result.
Medium term – Next week we have UK Production Price Index, UK Retail figures, Bank of England minutes, UK GDP figures and UK Mortgage approvals. Expectations for these releases will be more concrete on Monday so keep reading here for the latest forecasts and updates on these releases. This should help highlight potential buy and sell opportunities when it may be the best time to trade through next week.
Longer term – A lot hinders on the new Bank of England Governor Mark Carney that starts his post at the end of June. He may want to come in with an instant impact changing interest rates or the current asset buying program. It may the beginning of July when we see this and is already expected to be an interesting event that may give direction to exchange rates for the following few months.
If you are in the currency market and are interested in a more personal view on how the above events could affect you, feel free to contact us on the normal number (01494 787 478) or myself personally, Steve Eakins via email at hse@currencies.co.uk
Many Market Movers in May! Can sterling go higher?
As we approach the halfway point of the month we see the pound holding some of the gains we have witnessed in April but still very much under pressure! Unfortunately there is very little on the horizon to indicate significant further gains this month. If you are selling pounds to buy another currency holding out for further gains could be very risky, current levels should not be easily dismissed. Here are some of the key thing to note if you are buying or selling which may affect your rate.
If you would like more information on a particular subject or on events surrounding your particular transfer please speak with me directly on jmw@currencies.co.uk
Will the UK leave the EU? Expect pressure on sterling due to political uncertainty. Markets and investors want certainty in their investments. Fears of the damage a split Tory government, the rise of UKIP and a broken coalition would do to UK business weighed on sterling yesterday. Can Cameron tackle the ghost of conservative past and deal with the question of Europe? It is doubtful I have to say and this will weigh down the pound.
UK Growth Last months data was impressive and welcome but 0.3% is not anything to get too excited about. True the latest data sets have all been positive but the marginal improvements on what were dire figures still have a long way to go. Ultimately the UK’s stagnant housing market (particularly outside London) needs invigorating – Construction is the main drag in recent years. The second revision of growth figures at the end of the month could easily be a market mover.
Depending on which currency pair you are trading there will of course be many other things to move the market. Looking in my crystal ball (which has been pretty clear lately) I cannot see significant gains for GBP against the majors. Maybe a cent or two? Once again I see more danger of things dropping as the confidence of the last few weeks wears off.
If you have a transaction to consider I would be interested to speak to you explain the market and offer our services with a view to getting you the best deal. For more information please email on jmw@currencies.co.uk
I look forward to hearing from you!
Buying euros news, best exchange rates, when to buy, when to sell? (Steve Eakins)
Currency exchange rates have had a bit of a “blip” this week or a SPIKE allowing euro sellers to trade at a 6 week high. It is these SPIKES that often achieve the best price in the market but you have to move quickly to catch them as they don’t hang around for long. A Spike in the market is when some surprising information is released which moves the markets quickly and by a large amount. Unfortunately most recent SPIKE has now ended and the rates have started to return to the level seen over the last 5 weeks.
These spikes do not happen often and when they do it is only the clients with funds available that can normally take advantage. I am of the thought that there will be other spikes through the month of May due to key data being released from the UK with regards to the potential of the UK economy falling into a recession and the Eurozone maybe lowering interest rates. So if you need to move currency internationally register for SPIKE notifications via email at hse@currencies.co.uk
What next for currency rates?
Many euro buyers have been waiting for rates to climb back over 1.20 that we saw last year. Which may or may not happen. The facts still remain that the UK is growing at near zero percent, Unemployment continues to climb, consumer spending is still very low, and there is no real signs of any improvement in the near future. We don’t have an Olympics or a royal wedding to pin our hopes on. This week we have even seen the International Monetary Fund comment that the UK is at risk which is a view also shared by the next Governor of the Bank of England. So in the medium term I expect rates to fall.
The good news however is that rates do not move in a straight line and there are events in the near future that could help euro buyers:
- Next Thursday we have the UK GDP figures being released, this should confirm that the UK avoided a recession. I expect this to improve prices at the time by maybe a cent – saving clients £1,500 on a €200,000 purchase.
- The week following we have European Interest rate decision. There is a possibility that they will cut interest rates which could push exchange rates up for euro buyers, maybe by 1.5 cents – saving clients £2,250 on a €200,000 purchase.
To find out more about the specialist currency service we provide, whether you are a private or corporate client, then we can help. Please get in touch either on 01494 787478 or by emailing me with a brief description of your individual requirement and I will happily contact you and run through your options. You can reach me direct at hse@currencies.co.uk
Register for SPIKE NOTIFICATION or a RATE ALERT simply email me Steve Eakins at hse@currencies.co.uk with your details.
The most important issue regarding pound sterling rates at present! How to get the best exchanges rates
The pound had been one of the worst performing currencies of 2013 until a few weeks ago when it bounced back from the very worst levels. The answer to the question of is the worst really over will be evidenced next week in the form of GDP data. Gross Domestic Product is a measure of the output or growth in the economy and is a key factor in determining the strength or weakness of sterling.
What strategy should I adopt for buying or selling the pound?
If you are selling a foreign currency to buy pounds and you are keen to take a risk it may be worth waiting until next Thursday as there is an outside chance you could see much better levels by 2 or 3 cents. If you are not keen to risk then I would tee things up a bit sooner as it is probable the pound may become more expensive. Please note if you are considering any exchanges and would like to run through your options please speak to me directly on jmw@currencies.co.uk
The consensus among commentators seems to be that the UK has avoided the triple dip recession. This would mean that it is likely the pound will strengthen next Thursday. However because this expectation is quite high, if for any reason the data is bad we could see a big fall for the pound. Markets often move ahead of the event too, so it can be argued the pound is stronger lately due to this expectation. It is also true the pound is stronger due to events in Cyprus, money has moved out of Europe and despite all the economic woes for sterling, found its way to the relative safe haven of the UK.
If you are selling pounds to buy another currency then it may be wise to see how the data comes out next Thursday. This is because the pound may strengthen by a cent or so against most currencies. It is impossible to say exactly what will happen so the best way to ensure you don’t lose out unnecessarily is to register an interest with me so I can keep an eye on the movements for you. Rates can move up to one or two cents per day and on big volumes of currency this can become very costly.
If you are weighing up whether or not to sell or buy pounds and hoping for slightly more on the rate, then the outcome of this decision next week is key. You can be made aware of all your options and run through any ideas on what you feel may happen by speaking directly with me on jmw@currencies.co.uk
The authors of site are specialist currency providers who can offer much better rates than the banks and other sources. We also offer assistance with the timing of your exchanges and providing forecasts. Ultimately no one can tell you exactly what will happen, but our expert knowledge of what drives rates and guidance on the processes involved will ensure you make an informed decision.
Please contact me Jonathan Watson personally on jmw@currencies.co.uk for more information at no cost or obligation.
I look forward to hearing from you and personally assisting you, thank you
Is now a good time to buy foreign currency with pounds?
GBPEUR Forecast – Will rates drop lower in April? Unlike the weather which remains as cold as a few weeks ago, the pound has shaken off some of the worst of this year. Concerns over Cyprus and the stability of euro zone banks, plus a slightly better performing pound indicate to me a fairly range bound few weeks of anywhere between 1.16 and 1.19. Significant gains for sterling look limited, as do significant gains for the euro. On balance I expect rates to be higher towards the end of the month as sterling slightly recovers and attention remains on the Euro zone economies.
What next for sterling? Will we triple dip? How can I protect myself? The next big event this month will be confirmation of whether or not the UK is in a triple dip recession. Numerous recent reports have hinted that the UK may have avoided the triple dip. I personally think this will be the case and we may see the pound find a bit of strength towards
the end of the month. If you are selling a foreign currency to buy pounds it may be prudent to act sooner rather than later. The New Zealand dollar is at close to all-time highs against sterling as are many other currencies. For more information to help you decide on when may be best to enter the market you can speak to our trading floor direct on UK Freephone 01494 787 478 and check live interbank rates here.
Should you have anything to consider in the future our specialist service is designed to save you money. For a free, no obligation chat or quote to see jus how good we really are you can speak with me directly on jmw@Currencies.co.uk
Pound Sterling Forecast – What has happened and what may happen to the pound going forward? Sterling exchange rate news against the Euro, Dollar, Australian Dollar, New Zealand Dollar, Swiss Franc and South African Rand
Good afternoon – Please find the latest news surrounding the Pound and what may happen going forward:
Sterling – Euro
The Pound has had a fairly stable week against the Euro.
Today could have created a great deal of volatility and there were some fairly swift exchange rate movements however head of the European Central Bank Mario Draghi did not announce anything of any great significance during his press conference this afternoon and the bank of England kept everything as normal regarding interest rates and Quantitative Easing.
Tomorrow morning we have European Retail Sales figures out which you would imagine will not be great so we may see a small Euro buying opportunity in the morning.
Sterling – Dollar
The Dollar is seemingly making a little fight back once again against the Pound however four factors could affect this in the short term. Firstly the BOE interest rate decision today, secondly the issue with North Korea…. Hopefully this will calm down before any major action happens however be wary that you could see swift movements for the USD should the current threats start to gain some traction.
Thirdly, we have chairman of the Federal Reserve Ben Bernanke speaking this evening on the U.S economy so be aware of potential sharp swings for the Dollar overnight depending on what he says regarding future economic policy.
Finally, we have Non-Farm Payroll data out tomorrow for the States which can actually affect all major currencies. NFP data is essentially the number of people in non agricultural employment within the U.S and the reason it can lead to market volatility is it can effect global attitude to risk – Keep your eyes peeled for this data at 13:30pm tomorrow.
Sterling – Australian Dollar/New Zealand Dollar
The Pound is still finding these two as tough opposition and with news that commodity prices had risen by over 7% recently and that the Reserve Bank of Australia have once again kept rates on hold. The strange thing with these pairings is that both Governments appear to be disappointed with how strong their currencies are however neither seems to be doing much about it.
The general outlook is that the trend may continue unless someone steps in to do something about it however if global attitude to risk suddenly decreases then there is a good chance we may see a sharp spike and a potential buying opportunity – contact me today if you want to be made aware should this situation occur.
Sterling – South African Rand
This pairing has been fairly stable of late however once again attitude to risk falling globally may lead to the ZAR weakening again along with any further troubles over in South Africa that we saw a few months back.
Sterling – Swiss Franc
Again, no major movements of late for the pound against the Swiss Franc since the huge charge the Swissy made against Sterling a few months ago – Gaining around 8 cents in a week or so. This pairing is a strange one as the Swiss Government are still not particularly happy with the strength of their currency at present so at any point we could see them bring in a new fiscal policy like we saw quite some time ago where the Swiss Franc lost 10 cents in an hour!
All in all I think the strength of the Pound will be reliant on what happens with the bank of England today and also any rumours or predictions surrounding whether or not the U.K will fall back into recession on the 25th April.
If you have an upcoming currency transfer to make and you already have a trading facility then feel free to get in touch and I will be more than happy to assist you or monitor the market on your behalf. If you do not have a trading facility yet think I would be able to help you both in terms of a great rate of exchange and level of customer service then click here to register with us which is completely free and carries no obligation but will allow you to get a comparison against your current provider to see if I can help you.
I look forward to speaking with you!
Sterling exchange rates – What has Cyprus meant for the Pound against the Euro, Dollar and other major currencies?
The trading floor here is absolutely manic today as it has been for the past week or so mainly thanks the the on-going tale of events over in Cyprus.
Quite simply how can you be comfortable now holding more than €100,000 in an account in a bank withing one of the more troubled economies – realistically you can’t!
The Sterling – Euro exchange rate has been up and down like a yo-yo of late and with news of a potential credit rating downgrade for the U.K by Fitch on Friday evening it did look like the week may start off on the back foot for Sterling unless something major came from Cyprus.
Sterling has indeed lost ground against a number of major currencies but has also gained against those linked to the Euro after events unfolding today.
The Cypriot issue has no doubt created a huge problem for banks all over Europe and in my view is absolutely ridiculous and personally I feel it will now hold the Euro back from gaining too much strength in the near term. For those of you looking to buy Euros in the near future there should be some great buying opportunities coming up however do not make the classic mistake of getting too greedy, in my experience it is always the clients that hold out for that little that seem to end up actually losing out.
If you would like to be informed of any spike in the market then feel free to email me directly for a spike alert djw@currencies.co.uk - just last week a client got in touch with me requesting this, I emailed and called him when the market shot up and then got him a much better rate than he was being offered by his current broker – We don’t only pride ourselves on a highly efficient service but also our rates of exchange too! You have absolutely nothing to lose by contacting me for a comparison just to make sure you are getting the best price around.
Now, what does the rest of the week bring? Personally I feel there will be an extremely volatile market throughout these next few days and it is very hard to put together a decent argument as to how the Euro will strengthen back so I feel (and this is merely an opinion) that the Pound may gain a little more ground against the Euro, especially with rumours that we may see an imminent Italian credit rating downgrade.
Against the Dollar and riskier currencies I see a much flatter market however if things really do kick off in Europe you may see a little Dollar strength as investors seek a safer haven to run to.
If you would like an up to date forecast regarding any currency pairing then feel free to email me directly or to fill in the enquiry form on this website and one of our highly knowledgeable traders will give you a call back to discuss your requirements. We deal with bank to bank transfers ranging from £1000 to help pay bills overseas to multi-million Pound corporate transactions – Just leave a brief description of what you are looking to do and we will make sure the right person gets straight in touch. Contact me (Daniel Wright) the main author and owner of this site by emailing me at djw@currencies.co.uk I look forward to speaking with you.
Pound Sterling exchange rate update – The week so far – Cyprus, Bank of England minutes, The Budget and what may happen going forward this week?
Good afternoon,
Wow, what a choppy week so far for Sterling especially against the Euro!
News on Friday night that Cyprus were planning to essentially tax money from savings accounts sent the Euro into a plunge and made buying Euros a lot cheaper over the weekend, following this there has been constant speculation as to what may happen next leading to exchange rates for GBP/EUR going up and down like a yo-yo.
This volatile market has led to some great buying opportunities over the course of the week and I have made many people that have informed me of upcoming transfers aware of these spikes in the market.
This morning the Bank of England minutes from their previous interest rate decision actually helped the Pound a little against all major currencies as they showed there had been no extra votes in favour of any further Quantitative Easing.
The budget this lunchtime led to exchange rates moving by over a cent from high to low during its announcement – a difference of £735.00 on a €100,000 purchase. Luckily nothing too terrible has been announced so the Pound has indeed held its ground so far.
The Pound has indeed had a terribly rocky start to 2013 and unless we start to see potential that the U.K may avoid a triple dip recession then we may see these minor gains drop back again.
The on-going situation in Cyprus will however hold the most force this week in my personal opinion, purely by mentioning the plans to tax savings accounts we may see panic in Cyprus and possibly other troubled economies once the Cypriot banks re-open and the longer that they don’t the more chance of trouble erupting too.
Tonight we have the Federal Reserve Interest rate decision over in the States and GDP (Gross Domestic Product) details from the States.
No change in interest rates is expected in the USA but do be aware they may bring in or comment on new fiscal policies. Over in New Zealand GDP figures are expected to show growth of 0.9% which will be fairly solid for the NZD if they do come out as expected, any change to this however may lead to a sharp correction for GBP/NZD overnight.
If you have a pending transaction to make involving buying or selling Sterling against any other major currency then it is key that you make me aware, I can then inform you of any opportunities that arise in a market that literally moves every two seconds.
Feel free to reply to email me directly on djw@currencies.co.uk
I have thousands of satisfied clients that I have personally dealt with and quite simply I am here to save you money over your bank or current choice of broker along with helping you get a smooth and efficient service.
The European Central Bank is far from exit – Draghi comments lead to Euro strength, what economic data is ndue out tomorrow and how will it affect Sterling exchange rates?
Mario Draghi – ECB is far from an exit
Latethisafternoon Head of the European Central Bank Mario Draghi spoke in public and the main thing to take from his comments were that he feels that the ECB is far from an exit and that Euro breakup fears were totally unjustified.
These comments led to the Euro gaining a little strength back towards the end of the trading day after a cagey start to the week thanks the Italian elections we saw ruffle investors feathers at the start of the week as covered in our previous posts.
Personally I feel this may now calm down fears surrounding Europe in the short term (which Draghi appears to be the master of doing) and may now lead to the Euro pushing back down into the 1.14s in the next few days – If only Mervyn King seemed to speak with the same confidence the Pound would be much stronger I am sure.
European data out tomorrow
We have a host of economic data out for the Eurozone tomorrow morning which will no doubt also be key to the Euros performance tomorrow, with European unemployment and some inflation data all due to be released before 10:00am.
No major change to unemployment is due and PMI data is predicted to be stable, so any improvement on predictions could back up Draghi’s comments and may assist the Euro with another push back against the Pound in trading this morning.
If you wish to be kept abreast of the action as it happens then fill in the enquiry form on this page and one of our highly efficient brokers will get straight in touch to discuss the various options available to you.
U.S GDP figures out tomorrow afternoon
The states are next to take the limelight as US GDP figures (Gross Domestic Product) figures are released.
Gross Domestic Product is a key indicator to the performance of an economy and any change to the predicted figure may lead to a swift shift in exchange rates for almost all currencies.
Expectations are for the level to come out at 0.50% growth so keep a close eye on the markets at 13:30pm this afternoon especially if you have a pending currency transfer to carry out.
This release will not just effect the Pound and the Dollar, it can affect all major currencies as with the U.S being seen as a guide to global activity it can effect attitude to risk so you can see sharp movements in the riskier currencies such as the Australian Dollar, New Zealand Dollar and South African Rand.
Feel free to contact me directly should you be concerned as to what any of these data releases may do to exchange rates, I can assist you with any bank to bank currency transfers for your company, a property purchase or sale or indeed any particular reason. You can email me directly djw@currencies.co.uk please leave a contact number, a good time to call and a brief description of your requirements.
