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Sterling exchange rates may be in for a volatile few days to end off the week? (Daniel Wright)

Important Economic data still to come out this week

Following a very quiet start to the week for the Pound here are a few key pieces of economic data due out over the coming few days that may affect the value of Sterling against these major currencies.

The two key days for me may be the Bank of England meeting minutes tomorrow morning at 09:30am followed by BOE Governor Mark Carney speaking in the early afternoon and U.K GDP (Gross Domestic Product) data due on Friday, also at 09:30am.

We are currently still very close to a two year high against the Euro and a nearly at a six year high against the Dollar so trading levels are still extremely attractive for anyone looking to buy either of these two currencies.

Last night we had Governor of the RBA Glenn Stevens speak and he has now once again spoken and confirmed that he is happy with the current monetary policy in Australia, seemingly changing his view that the AUD is too strong and giving the Australian Dollar some early morning strength.

Today – Reasonably quiet for economic data today with the main focus being on U.S inflation data which is due out at 13:30pm this afternoon. As with most U.S data this can have an effect on all major currencies as it does affect global attitude to risk.

Wednesday – Inflation data also starts the day off tomorrow with Australian having their turn this time. Australian inflation data is due out at 02:30am so could be an overnight market mover so if you have a requirement to buy or sell Australian Dollars in the near future it may be prudent to place a limit order or stop loss to either take advantage of a short spike or protect yourself from adverse market movement. Contact me for more details on how these options work.

Tomorrow morning does has the potential to be a big market mover although it has not been led to too much market volatility over the last few months. We have the Bank of England minutes out for the U.K which are from the last interest rate decision. The key will be if any members of the Bank of England have started voting in favour of an interest rate hike, for a long time now the vote has been all nine members of the monetary policy committee in favour of no change but with all the talk of interest rate changes coming closer will anyone have changed their mind?

In early afternoon Governor of the Bank of England Mark Carney speaks at 12:24pm so be very aware that investors will be hanging off of his every word so Wednesday for me has real potential to be the most volatile of the week.

For those tracking the New Zealand Dollar we have the RBNZ Interest rate decision out at 22:00pm and a small hike in interest rates is expected, if this happens be cautious of a little NZD strength overnight, if they do not hike as expected then we could see the Pound gain a little back. Again a stop loss or limit order overnight may be a sensible approach.

Thursday  Thursday morning is fairly busy once again with a flurry of services and manufacturing data out for Europe throughout the morning from 8:00am until 9:00am followed by U.K Retail Sales data at 09:30am. Expectations are for a small rise in Retail Sales but as you are all aware these releases don’t always come out as expected.

Friday Once again 09:30am is the key for those following Sterling exchange rates as we have GDP (Gross Domestic Product) data out for the U.K at this time. GDP measures the amount the economy has grown or shrunk within a specific period of time. This can be one of the most important releases of the month an again expectations are for a minor increase year on year but no revision to quarter 2.

All in all a fairly busy few days, so if you have a currency transfer to carry out involving any major currency it is well worth making me aware of it or giving me a call so I can notify you of any large market movements or so that you can secure these fantastic exchange rates so that the market does not have a chance to drop back away again if data is not too great.

If you have a requirement in the future but you do not yet have the full availability of funds you can book out a forward contract. This is where you can book a rate out for up to a year in advance with just a small deposit, removing the risk of the currency market making your purchase any more expensive in the future.

This is ideal if you are in the process of buying a property overseas as you can know exactly how much the property is going to cost you today and eliminate the risk of the Pound dropping away again and missing out on this great opportunity.

I look forward to speaking with you if you have any questions or queries or you would like to book out a rate of exchange. You can email me directly on djw@currencies.co.uk and I will be more than happy to assist you.

 

 

Tomorrow to be key for Sterling exchange rates – Unemployment data and bank of England minutes

Daniel Wright

Daniel Wright

Tomorrow for me has real potential to be a big day for the U.K and indeed Sterling as we have the release of both unemployment levels and the bank of England minutes from their last interest rate decision.

Unemployment figures are not quite as important as they have been in recent months as the Governor of the bank of England Mark Carney has bought in numerous other parameters that may impact on an interest rate change however any alterations on the 7.1% figure will still have an impact on Sterling’s value.

At exactly the same time we will have the Bank of England minutes which will show what was discussed and how members voted at the last interest rate decision so be aware any surprises that come from this could also make for an interesting morning for the Pound.

If you have a requirement in the future but you do not yet have the full availability of funds you can book out a forward contract. This is where you can book a rate out for up to a year in advance with just a small deposit, removing the risk of the currency market making your purchase any more expensive in the future.

This is ideal if you are in the process of buying a property overseas as you can know exactly how much the property is going to cost you today and eliminate the risk of the Pound dropping away again and missing out on this great opportunity.

I look forward to speaking with you if you have any questions or queries or you would like to book out a rate of exchange. You can get in touch with me directly by emailing me on djw@currencies.co.uk and i will ensure I get back to you personally. We pride ourselves on saving clients money over banks and other brokerages so for five minutes of your time it could save you an awful lot of money.

Pound Sterling exchange rates at brilliant levels once again!

Daniel Wright

Daniel Wright

Sterling exchange rates rose against all major currencies yesterday following Governor of the Bank of England Mark Carney speaking shortly after the quarterly inflation report for the U.K.

Carney, who is now getting a reputation for talking the Pound up compared to Sir Mervyn King who seemed to have an ability of making the Pound drop like a stone increased growth forecasts and spoke about the possibility of interest rate hikes and what would need to be met in order for him to start seriously considering hiking rates. In fairness to King he was in a much more dire economic situation than Carney, however for anyone looking to buy foreign currency with Sterling Mr Carney should be added to your Christmas card list at the moment!

As mentioned in my previous post I feel there is still a little risk of the flooding starting to weigh on the U.K economy which is one to be a little wary of if you are looking to buy foreign currency in the near future, however news yesterday can only be seen as good for the time being.

If you have a requirement either now or in the future to buy or sell foreign currency then is would be sensible to get in touch with me directly so that I can assist you both with the timing of the transaction and get you a great rate of exchange when you come to carry it out. I cannot ever directly advise you however with years and years of experience in the currency markets having me on your side should help to save you money.

Feel free to email me (Daniel Wright) directly on djw@currencies.co.uk with a description of your requirements and a contact telephone number and I will be more than happy to give you a call.

Mark Carney speaks on Wednesday – Will the bad weather start to hinder our recovery? (Daniel Wright)

Daniel Wright

Daniel Wright

We have a fairly quiet start to the week however the Bank of England Inflation report and Mark Carney’s speech on Wednesday morning  will be key to the performance of the Pound against most major currencies in the coming weeks.

It is likely we will get comments from him on forward guidance and how he plans to deal with the economy, inflation and interest rates going forward, so any comments may lead to sharp movements for the Pound.

On another note for anyone looking to buy foreign currency with Sterling, I would be a little concerned about the weather and the flooding we are seeing virtually countrywide now – This surely has to start having an impact on economic data soon as many places have come to a stand-still and with another week of wet and windy conditions forecast this is something you need to take into account.

Following a fairly positive start to the year for the U.K and indeed the Pound, Sterling exchange rates are starting to fall away again against the Euro, just as we have seen on numerous occasions when things are looking positive for the Pound in recent years.

The issue last week was down to to head of the European Central Bank Mario Draghi and his comments throughout his press conference on Thursday leading to investors pulling money out of Sterling and back into the Euro.

The main talking point was that he is still seemingly steering away from QE (Quantitative Easing) for Europe at this moment in time. For those of you that have followed the markets over the past few years generally QE or the mere mention of it can lead to a currency gaining strength, so the fact it will not be done by the European Central Bank has led to Euro strength.

The fact that the Euro has now slightly fallen into favour has also led to Sterling losing ground against most majors thanks to investors pulling funds out of the Pound.

If you have a requirement in the future but you do not yet have the full availability of funds you can book out a forward contract. This is where you can book a rate out for up to a year in advance with just a small deposit, removing the risk of the currency market making your purchase any more expensive in the future.

This is ideal if you are in the process of buying a property overseas as you can know exactly how much the property is going to cost you today and eliminate the risk of the Pound dropping away again and missing out on this great opportunity.

I look forward to speaking with you if you have any questions or queries or you would like to book out a rate of exchange. You can email me directly on djw@currencies.co.uk with a brief description of your requirements and a contact number and I will be more than happy to call you.

Sterling exchange rates await key inflation data this morning – What may happen to the Pound?

Sterling exchange rates are once again still fairly flat against the majority of major currencies, as we await inflationary data due out at 09:30am this morning.

Inflation data is key at the moment for the bank of England and it appears to be a thorn in their side, should inflation creep up too high we could start to see big calls for a interest rate hike as this is a route that can be taken to tackle high inflation. An interest rate hike is generally seen as positive for the currency concerned and a rate cut is seen as negative so this could lead to a little boost for the Pound.

Tomorrow is also key, we have the Bank of England minutes from the last interest rate decision (the first since being out of recession) and any indications of rate hikes or quantitative Easing may lead to a volatile Wednesday morning for the Pound.

Do you carry out currency transfers and find our information useful? Did you know we can help with currency exchange as well? We can get award winning rates of exchange and also offer a great level of customer service for bank transfers ranging from £1000 to multi million Pound transactions. Email me today djw@currencies.co.uk with a brief description of what you are looking to do and I will be more than happy to assist you.

Sterling exchange rates following inflation data – The Bank of England is stuck in a tricky position to say the least (Daniel Wright)

The Pound has risen ever so slightly this morning following inflationary data coming out slightly higher than expected.

The Bank of England would like the Pound to be weaker but the problem they face is that the lower the Pound the more imports will cost, therefore goods are more expensive which is not good for inflation.

Raising interest rates to combat inflation will lead to more expensive borrowing costs for everyone and growth being stunted due to less investment.

Not a nice position to be in – A rock and a hard place comes to mind!

For those of you that do not follow the markets the reason that this has led to the Pound gaining value is that the Bank of England do not want to have inflation getting too high and this is a sign that is is creeping up (things are getting more expensive to buy). The best way top tackle high inflation is to raise interest rates and a hike in interest rates generally is seen as positive to the currency concerned as it makes it more attractive to investors.

The currency markets do move in advance of things like this happening which is why the Pound has gained as the chance of a rate hike has increased ever so slightly.

Of course there are a lot of other factors that may affect rates in the coming days, we have the Bank of England minutes tomorrow morning which will show us how many members voted in favour of or against both Quantitative Easing and an interest rate change.

Indications that we are on the edge of further QE may be seen as negative for the Pound and the last few months this has been the more likely however any indications that members heads are moving towards a hike in rates could lead to another boost for Sterling.

Be aware we also have the budget tomorrow which in all honesty is rarely a big market mover however you always need to be cautious of a surprise popping up!

If you have a pending currency transfer to carry out from bank to bank and you want not only to maximise your exchange rates but also to receive a great level of service and assistance then feel free to contact me directly by email djw@currencies.co.uk with a brief description of your requirement and a contact number and I will be more than happy to call you straight back. We have won numerous awards both for our rates and customer service and I will be highly surprised if I cannot save you money over your current provider.

I look forward to hearing from you.

 

Currency market latest – More doom and gloom for the Pound? The Bank of England certainly are not helping! Capital flight in full force to the Eurozone (Daniel Wright)

With reports of a huge capital flight back to the Eurozone as investor confidence increases along with the view that the worst is over, what now for Sterling exchange rates?

What does not help is the new Bank of England Governor Mark Carney has also now indicated he may take an aggressive stance with more QE when he takes the reins in July.

The latest news

The Financial Times is reporting today that a huge capital flight back to the Eurozone is occurring which it part of the reason that we are seeing such big shifts for the GBP/EUR rate at present.

The problem those of you that are waiting for a recovery for the pound against the majority of major currencies have is that there are few indications that we will see things turn around in the near term unless we see some big news soon.

Economic data for the U.K throughout January was particularly poor to say the least and it just feels like the bank of England are only too happy to see a weaker Pound at present which certainly does not assist those of you with large upcoming transactions to make.

It is very easy in this situation to just keep waiting for the market to move back in the right direction however hope is not something that can move the markets so you do need to look at your options extremely seriously as deadlines loom.

There are options available if you don’t have full availability of funds, you lock into a rate of exchange for the future with just a small deposit.

If there is a particular trading level you are looking to achieve you can place a limit order – Meaning if your required level is achieved at any point 24 hours a day 7 days a week even for a second then your currency will be bought out automatically for you – There is no cost to place this order and as long as it has not filled then it can be canceled or amended at any time.

We have a fairly quiet week on the data front this week, the most notable is Non-Farm Payroll data for the States on Friday which can affect all major currencies as it will effect investors attitude to risk, this is at 13:30pm on Friday.

Transfer to carry out?

If you are one of my regular clients then do feel free to get in touch with me directly and I shall be more than happy to book out a rate, place an order or monitor the market for you over the week.

If you have not used me before yet have a currency transfer to carry out it may be prudent to consider your options and ensure that you have a proactive currency broker on your side. If you currently do not use a currency broker or you feel you could get a better price or level of service than you are currently getting then by all means feel free to email me directly and I will be happy to personally help you for any requirements. You can catch me on djw@currencies.co.uk and i look forward to hearing from you.

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Important day for all markets today – bank of England interest rate decision and European Central Bank interest rate decision to be of interest for all currencies including GBP EUR USD AUD NZD CAD CHF ILS PLN and all majors as attitude to risk may change

An important day on the markets today for all those with currency requirements in the near future as we have both the Bank of England and European Central Bank interest rate decisions due at 12:00opm and 12:45pm respectively.

No change in interest rates is expected although there is a minor chance of a surprise cut the important factors however is that we could see key announcements of comments shortly following the decisions.

The Bank of England seem to be very good at weakening the Pound and any mention of further QE (Quantitative Easing) may lead to Sterling weakness or indeed any other spanners thrown into the works for the U.K economy.

Shortly after the European Central Bank interest rate decision we have the ECB press conference which should be key for those with interest in all major currencies. The reason that the Euro has gained back a lilttle strength, currencies such as the AUD, NZD and ZAR have also strengthened and the USD weakned against the Pound over the start of the week is the fact the head of the ECB (w3ho will be heading up the press conference)  made extremely positive comments about the Euro and how he plans to do everything he can to save the Euro going forward. These comments sent bond yields tumbling away from the worrying 7% level for Spain and Italy and meant that investors had a better attitude to risk suddenly, meaning they get involved in riskier investments and pull funds out of the ‘safer haven’ currencies such as the U.S Dollar.

I expect that Mario Draghi will not have changed his stance over the past few days and we could see another Euro positive press conference this afternoon, leading to potential strength for the Pound against the Dollar and weakness against a basket of other majors inclusive of EUR, AUD, NZD and ZAR. Of course anything can happen in these decisions and conferences and there is a lot going on behind closed doors at the moment but if you have  a transaction to carry out it is key you have a proactive currency broker on your side.

Should you have a bank to bank currency transaction to carry out either imminently or in the future then I can personally help you. I deal with private and corporate clients and offer not only award winning rates of exchange  but an award winning level of customer service to match. Email me today djw@currencies.co.uk if you would like assistance and I shall be more than happy to call you back, If you just want updates for now then feel free to join our mailing list by filling in the form at the top right hand side of this page.

 

Euro remains stable as markets await Coalition news – Reserve Bank of Australia minutes show rate decision finely balanced and Bank of England minutes tomorrow are key for the Pound

As I had predicted in my post on Friday the Greek elections, although built up to be a huge thing for the currency markets actually didn’t lead to much change at all, it will still be indeed the coming days and weeks that will be the important part and will decide where the Euro is the head next… Once again it seems like the market is now range bound awaiting the next big push.

Assuming we still have no further news from the Greeks then the big news for Sterling Euro will be the Bank of England minutes out tomorrow morning at 09:30am. CPI data this morning is the pick of the data for the U.K today at 09:30am which may give the Pound a short term boost if it comes out that little bit higher than expected but I doubt it will be making too much of an impact on a market which just appears to have all traders eyes on our Greek friends. The Bank of England minutes will be an overview of what was said at the last BOE interest rate decision and any nod to Quantitative Easing may lead to the Pound weakining, however we did see a new stimulus package put in place last week so I don’t expect major fireworks.

The RBA overnight released their meeting minutes and it suggested that it was a close decision to cut interest rates in Australia last month which suggests the RBA may hold fire on another cut at the next rate decision. Intrerest rate cuts are usually seen as negative for the currency concerned and a hike in rates seen as positive, so the fact they may hold off may lead to the AUD gaining back some strength in the short term. The fact that the Greek scenario is now looking slightly more positive (however nowhere near fixed) may also strangthen currencies such as the AUD, NZD, ZAR and CAD.

If you have a pending currency transfer and you want a better rate than your current broker is offering you, along with an extremely high level of customer service and efficiency from people with years of experience then feel free to contact me personally by emailing me on djw@currencies.co.uk

Bank of England Interest Rate Decision Today – Non Farm Payroll Data One To Be Wary Of Tomorrow Whilst The UK Is Off!

Today sees the release of the Bank Of England Interest rate decision, no change in rates is expected and to be honest I feel it will probably be a bit of a non event, however be aware that the BOE do like to throw a spanner into the works whenever the Pound does start to perform well so anyhting could happen.

The key data for people to be aware of is U.S Non Farm Payroll data – Regular readers will be aware this can effect all major currencies and can lead to just as much market volatility as an interest rate decision. Now, the big problem is that we have a bank holiday in the U.K this means that you will find it hard to call your bank or broker to book out an exchange rate should rates either move drastically against you or indeed in your favour. There are options available to youand I can help you should your bank not offer these options. You can place a limit order and a stop loss order, this means you set yourself an ideal trading level, or a worst case scenario and should either get hit then your currency is bought out or sold automatically for you, I would then merely get in touch after the Easter break to inform you and you would be required to settle the contract with us as per normal.

I work for Froeign Currency Direct and built this site to help give people simple information on the markets without all the technical analysis that quite simply confuses people, If you find my site of use or want to get more information on how I can save you money then do feel free to email me directly djw@currencies.co.uk and I shall be happy to help.

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