Tag Archives: exchange

Flat week for Sterling so far with little economic data out – What does the rest of the week hold? (Daniel Wright)

The Pound has had a fairly slow start to the week against all major currencies, as we have seen very little in the way of economic data released leading towards the end of the month.

We do have a few points of note later on in the week mainly concerning Europe, Canada and America.

Swiss employment figures are however due at 08:15am tomorrow morning which is one point of note for anyone following the Swiss Franc.

Shortly after that we have German unemployment figures at 08:55am which although is a fairly important release however it appears no change in unemployment rates is expected but any differential to the expectation of 6.7% could lead to a volatile morning for the Euro.

later on in the day at 13:30pm we do have U.S GDP (Gross Domestic Product) figures which will show growth over in the states during a specific period and can actual lead to market volatility for all major currencies as it may have an effect on global attitude to risk.

Friday we round the week off for the Euro with European inflation and employment  figures with year on year inflation expected to come out at 0.8%   and unemployment to remain at 11.5% (much worse than that of the U.K and US).

Canada release their GDP figures later on in the afternoon at 13:30pm and one thing to be fairly wary of is month end flows which we do tend to see fairly often on the last day of the month. This can cause volatility for all major currencies in any direction so Friday is a good day to ensure you have someone watching the market for you.

If you do not currently use a currency broker or you feel you could be getting a little more out of the broker you currently use in terms of exchange rate and service then it may be prudent to contact me directly.

I pride myself on keeping clients fully up to date with market movements and our exchange rates have won numerous awards so I would be surprised if I couldn’t save you money too.

Feel free to email me (Daniel Wright) on djw@currencies.co.uk and I will be more than happy to give you a call to explain the service and quote you if you wish.

Can we save you money and beat your current quote for currency exchange? Why not try us out, I would be surprised if I cannot beat any bank or brokerage rate which means more money in your pocket (Daniel Wright)

I have had thousands of clients contact me through this site over the past five years and almost every single one has ended up making a saving using the company I work for over their current provider.

When it comes to an online platform for example, generally I would steer clear of using those as although they are fairly convenient, you have nobody working on the rate for you therefore tend to find you aren’t getting the best exchange rate you can.

Also, if you have been using a broker for many years then in my experience, like with anything in life it pays dividends to get a comparison once in a while even if you are fairly comfortable as it is highly unlikely that your exchange rate will be as sharp as it possibly can be.

The beauty of our service is that we are not tied to a particular margin therefore it means that there should be no reason why I can’t make sure I save you enough money to make sure it is worth your while using us, if I can’t then I will be totally honest and tell you to carry on with your current provider – For two minutes of your time getting in touch there really is nothing to lose.

I have clients ranging from small companies buying stock from China to larger companies millions of  Pounds overseas regularly along with private clients sending regular payments over for mortgage payments to premier league footballers buying a villa in Spain.

Feel free to email  me (Daniel Wright) today on djw@currencies.co.uk with a brief explanation of your needs and a contact number and I will contact you straight away to let you know what I can offer and how the service works. We have won numerous national awards for our exchange rates and level of customer service so if you have found the information on this site of use so far it would be well worth you getting in touch.

Pound Sterling Forecast – Economic data out the first few days this week and how it may move exchange rates (Daniel Wright)

A very slow start to the week for Sterling today with very little economic data or news for the markets to move off.

This will more than likely be the calm before the storm this week though as there is plenty of data for investors and speculators alike to get their teeth into which will no doubt cause quite a lot of volatility for most major currencies.

Tonight - Overnight we see the RBA (Reserve Bank of Australia) meeting minutes and the RBNZ (Reserve Bank of New Zealand) inflation expectations, out at 02:30am and 04:00am respecively. RBA Governor Stevens has seemingly turned a corner lately with his comments on the strength of the Australian Dollar and appears to be a little happier with the way things are going, leading to the Australian Dollar gaining some strength back against the Pound and knocking the GBP/AUD rate back below 1.80. Stevens is also due to speak on 00:30 Tuesday night as well.

Tomorrow – Tomorrow morning we see a key inflation release from the U.K which could easily lead to a bumpy ride for Sterling followers during the course of tomorrow morning. Inflation had beejn at 1.9% which is just about below the Government target of 2% so any minor alterations to this, especailly to the upside could give the Pound a morning boost, as one way to lower would be to raise interest rates, so a figure of 2% or above may lead to a little speculation of a rate hike coming a little closer. Of course, comments from the Governor of the Bank of England last week may well cut this potential out.

Later in the day it is the turn of the States for their inflation data, interstingly also expected to come out at 1.9% so if you have an interest in the Dollar be sure to keep a watchful eye on the market shortly after 13:30pm – Or why not email me on djw@currencies.co.uk and I can monitor things on your behalf.

Wednesday – Wednesday morning we have the Bank of  England minutes from the last BOE interest rate decision. No major expectations from this one however it does really have the potential to throw up a surprise or two and news that any of the 9 members of the Bank of England now are voting in favour of an interest rate hike may give also Sterling a shift up in the right direction.

Later in the evening we have the FOMC (Federal Open Market Commitee) minutes, again very similar to the BOE minutes seen a little earlier on this will show how the Fed voted in terms of rate movements and what they discussed at the last interest rate decision, last time around we saw one memebr of the Fed vote in favour of a rate hike which did give the Dollar a little boost.

If you have a currency transfer to carry out and you want to achieve the very best rates of exchange either for your company or a personal transaction, along with highly valuable market knowledge then why not contact me (Daniel Wright) by email on djw@currencies.co.uk with a brief description of what you are looking to do and a contact number and I will be more than happy to assist you personally.

Even if you currently use another broker you may be surprised at how much you can save by getting in touch as a small improvement on an exchange rate can make a big difference to you.

I look forward to hearing from you.

 

 

Pound Sterling Forecast – Australian Interest rate decision tonight and a flurry of U.K data tomorrow and Wednesday (Daniel Wright)

An interesting night overnight for those following Australian Dollar exchange rates as we have the Australian interest rate decision along with the rate statement shortly after.

RBA Governor Stevens seems to be constantly changing his mind about the strength of the Australian Dollar being negative for the economy or not so this release could quite easily cause quite a bit of overnight movement depending on what he now says, it is doubtful we will have any change in interest rates but the statement for future policy may be key.

Tomorrow morning there is plenty of European services data throughout early morning trading, followed by Markit Services data for the U.K at 09:30am. For anyone with an interest in New Zealand Dollars employment figures for New Zealand are also out at 23:45pm.

Wednesday morning brings an important start to the day for the U.K with Industrial and Manufacturing production data coming out at 09:30am which will be a key indicator as to how the economy performed throughout July and can lead to quite a bit of market movement.

Later in the day we have the NIESR (National Institute of Social and Economic Research) GDP Estimate. This can also be quite a large market mover as the NIESR are usually fairly close with their predictions.

We also have interest rate decisions on Thursday for both the Bank of England and European Central Bank, we will cover this further later in the week.

If you are looking to carry out a currency transfer either during the week or in the coming months then it would be well worth you getting in touch with me directly.

The brokerage I work for offers award winning rates of exchange and great level of customer service, you would deal with me personally from start to finish too so I will be happy to keep you up to date with the very latest market movements. You can email me (Daniel Wright) on djw@currencies.co.uk with a brief description of what you are looking to do and a contact number and I will be more than happy to help you.

Have sterling gains stalled? Three big reasons to think twice…

There is no shortage of the positive things for the pound at present. It is the only major currency genuinely on course to raise interest rates and the British economy is predicted to be one of the fastest growing in the next few months. Unemployment is falling and the economy is growing, the green shoots have for some finally sprouted…

A quick look up ahead however shows that the path to a stronger pound isn’t quite as clear as some forecasters seem to believe. There are three key elements to look out for.

 - Political Uncertainty - 

Usually ahead of an election a currency weakens. The Scottish Referendum in September still has many unanswered questions and it would be foolish to discount late swing votes. Markets can be fearful creatures and if sentiments turn negative the pound may lose value. Next year is the General Election which could provide plenty of opportunities for GBP weakness. Even though the Bank of England is independent from the Government will rising interest rates be an election topic? Already portrayed as the ‘mean’ party, the Tories may struggle to maintain their economic plan under a new coalition and Labour’s economic plans look very anti – business…

There is also the prospect of the UK leaving the EU, again it is the uncertainty these events present which could undermine GBP gains…

- Rising Interest Rates may derail the economy -

Rising Interest rates could do more harm than good! Property prices are principally rising in the South East, mainly London and this is skewing the market. Other areas of the country are actually seeing prices fall or remain stagnant. Rising Interest rates may serve to undermine recovery in the housing market across the housing market making it more difficult for purchasers to get a mortgage and reducing the disposable income (that is spent in the wider economy helping for example Retail sales) those with mortgages have.

Many commentators have pointed out we are in a new ‘low interest rate’ economy globally. There are drawbacks to this but perhaps the UK needs to be stronger on its feet before interest rates rise.

- A strong pound can be bad for exports and growth prospects -

There have been some of the UK’s biggest companies this week highlighting the detrimental effect the strong pound is having on their profits. Rising interest rates may serve to strengthen the pound further making UK manufacturing and service less competitive in the global economy.

All in all the pound is at multi year highs against many currencies. Assuming rates will remain where they are is a foolish assumption and anyone considering moving larger volumes of currency should note the difference even 1 cent can make on a big volume of money.

If you need to buy or sell a foreign currency we can offer assistance  understanding the market and getting the best rates on your deals. We are a group of specialist currency brokers writing this blog for your help. Please feel free to contact me Jonathan directly to learn more.

jmw@currencies.co.uk

 

 

Will sterling keep up this current trajectory?

Tomorrow is UK Retail Sales and Friday is the latest UK GDP (Gross Domestic Product) data. Both of these releases could easily spark volatility in the market underlining the importance of keeping up to date with the market. In the last few weeks sterling exchange rates have crept up notably against the Euro but we are at multi year highs against pretty much everything! Can sterling keep on this trajectory?

Well early indications seem to think so with recent poor borrowing economic data being ignored in anticipation of an interest rate at hike at some point in the future. As is so often the case with exchange rate it isn’t just which currency is the best, it is that others are very unpopular! Take the Euro for example, we may still see some QE (Quantitative Easing) in the future. This form of ‘printing money’ is very bad for the currency as by increasing the money supply it effectively dilutes the strength of the currency. The UK used QE many years ago and this is one of the reasons the pound dipped to almost parity with the Euro, imagine the detrimental effect QE in the Eurozone would have on GBPEUR rates!

If you have any need to buy large volumes of foreign exchange getting the best exchange rate is central to making the most of your money. The authors of this blog and I are extremely confident we can undercut other sources like banks and other currency brokers on exchange rates, plus also offer practical assistance in the timing and management of your payments. For a quick rundown of your situation and a comparison why not make contact? We can then have a quick chat at no cost or obligation and you can decide for yourself what is better! After all if you were entirely happy with your current situation you probably wouldn’t have read this far!

Jonathan Watson, jmw@currencies.co.uk

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.

 

 

Pound Sterling exchange rates creep up following solid manufacturing figures (Daniel Wright)

The Pound had a good morning against most major currencies following slightly better than expected Manufacturing data released by the U.K.

Expectations had been for a minor drop in PMI Manufacturing data but we actually saw a small increase which in turn gave Sterling a small boost.

We also saw European unemployment figures show a minor improvement at 11.6% instead of the projected 11.7% which potentially held back further gains against the Euro (although this is still not great).

Tomorrow morning we will see growth figures for Europe as a whole so that is the next big Euro based data release to look out for. Most heads however will be turned towards the ECB (European Central Bank) interest rate decision and press conference released on Thursday at 12:45pm and 13:30pm respectively.

For anyone with an interest outside the Euro beware that Non Farm Payroll data in the States is also released on Thursday at 13:30pm (A day earlier due to independence day).

Non-Farm Payroll data is essentially the number of people in Non-agricultural employment over in the States and is a key indication as to how their economy is performing.

This release can cause quite a lot of volatility because predictions are made in advance and these can be wildly out. The market moves on rumours and predictions as well as fact, and should the figure come out quite a way from initial predictions the market does correct itself rather swiftly.The reason this effects the AUD, NZD and ZAR and pretty much most majors is because as I am sure you can imagine it will affect attitude to risk and will lead to rapid movements of large amounts of money globally.

If you have an upcoming transfer to carry out and want to get the best exchange rates along with great customer service and knowledge of the markets then email me directly on djw@currencies.co.uk  I welcome all enquiries for bank to bank transfers however i’m afraid I cannot help with cash transactions or speculation.

 

Sterling exchange rates remain steady in a quiet week for economic data (Daniel Wright)

The Pound has had a fairly quiet day on the markets against most major currencies following the pattern of the week so far.

With minimal economic data out of note this week most heads will now turn to Governor of the Bank of England Mark Carney speaking tomorrow morning at 10:30am. Carney spoke on Tuesday morning and his general message was that wage inflation was still a slight concern but it does still look like everything is heading in the right direction. The slight hint of concern along with comments from his colleagues at the Bank of England has led to a minor dip for Sterling but I am still well and truly a believer that the pound is indeed still in fashion with speculators and investors alike and it would be a surprise to see much more of a dip in the coming days unless Carney throws up a surprise.

We also have the U.K Financial stability report out at 10:30am too so do be aware that this could have an affect on the value of Sterling just before Mark Carney even starts to talk.

If you are looking to buy or sell currency involving the Pound either for a property purchase/ sale or for your business then it is well worth contacting me directly. The company I work for not only has won many awards for our rates of exchange but also for our high level of customer service.

Please do feel free to get in touch with me (Daniel Wright) for a no obligation discussion about your requirements and i will be more than happy to contact you personally. You can email me on djw@currencies.co.uk with a brief description of your requirement and a contact number and I will be more than happy to get in touch.

Can you really afford to ignore the current exchange rate? 1.2521 on GBPEUR, 1.6955 on GBPUSD and 1.8164 on GBPAUD.

The pound has been boosted further by an unexpected turn of events. At the time of writing we are 1.2521 on GBPEUR, 1.6955 on GBPUSD and 1.8164 on GBPAUD. This just goes to show how nothing should ever be taken for granted on exchange rates and how quickly events can turn. You might not be able to predict the future (nor can we), but we aim to ensure clients are prepared for eventualities with expert market commentary and analysis plus an award winning exchange rate.

At home…

Tomorrow is vital for sterling with the latest Bank of England Minutes. Following Mark Carney’s recent comments, could we expect to see an outside chance of a vote for an interest rate hike? Thursday we have Retail Sales figures and Friday PSNB (Public Sector Net Borrowing) data. All in all the pound should remain supported but last month Retail figures and the PSNB data all knocked confidence slightly by coming in lower than expected. Depending on the data tomorrow from the Bank of England it may be that a worsening situation in Iraq alters sentiments towards the end of the week and sterling may lose ground.

I believe the current excellent rates quoted above should not be readily dismissed in the hope of much higher levels. It may be that there is more to lose than gain from holding on and it is often the greedy who get their fingers burnt… For a quick overview of your transaction and assistance moving funds internationally please contact me Jonathan on jmw@currencies.co.uk

Abroad…

Further afield we have the Federal Reserve in the US clarifying their position on a further extension of the ‘taper’. The significantly improved Labour market reports for the US indicate to me that we will see a further $10bn withdrawal and this has probably been priced into GBPUSD and EURUSD already. In the Eurozone there is little to move the market and I expect the Euro to remain on the backfoot as markets still digest the recent ECB moves to cut interest rates.

The Best Exchange Rates?

This website purports to get you the best exchange rates but what does this mean, how exactly do we do this? Let me explain in a nutshell! We…

- Undercut the banks and other sources. Given a fair shot we buy currency live in the market which gives us scope to negotiate a rate more favourable than banks and other sources.

- Proactively manage your FX exposure by offering a range of tools and options to limit risk. We can offer forecasts specific to your exchange to help you better understand the market and which way things could be headed.

 - Focus on customer service. As well as provide the best rates we ensure all payments go through smoothly, promptly and offer useful information on how to navigate international banks.

GBPEUR is 11 cents higher than its low point of 2013, GBPUSD is 20 cents higher than the low point of 2013 and GBPAUD is 35 cents higher than the low point of 2013. The pound is trading at some truly excellent levels and it is all on the back of speculation of when the Bank of England will raise interest rates. The market will often do whatever is necessary to prove everyone wrong. 2 years ago GBPEUR hit 1.2860 before crashing to 1.14 8 months later. Can you really afford to ignore the current exchange rate?

For some support and assistance with your international money exchanges please contact the author Jonathan directly on jmw@currencies.co.uk, I look forward to hearing from you and assisting with information and facilitating your exchanges.

Jonathan

 

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